Boxoffice-December.24.1949

PUBLIC RELATIONS UNIT OFF
TO FAST START ON TAX FIGHT
Group Starts Industrywide
Move to Put Pressure on
New Senate and House
NEW YORK—If wartime ticket taxes are
to be reduced, now is the time to make the
try, says Abram F. Myers, Allied board
chairman and general counsel, who now is
acting as chairman of the legislative committee
set up recently by the Council of Motion
Picture Organizations in Washington.
There may not be another similar opportunity
in years, he states.
With this in mind, the committee met Tuesday
(20) and laid out a program designed to
get the industry's side of the case before the
House ways and means committee when Congress
convenes at the beginning of the New
Year.
RAISING SMALL FUND
Sub-committees were appointed and provisions
were made for raising a small fund to
cover current expenses by means of contributions
from exhibitor organizations and others.
All this is in anticipation of further steps in
the organization of COMPO which will, it is
expected, set up a national organization in a
few weeks and eventually will have funds for
the varied activities of the group through
contributions of ten cents per $100 of film
rental by exhibitors and a similar amount
from distributors.
Myers pointed out after the meeting that
the campaign for ticket tax reduction carried
out by exhibitors in recent months has
developed a strong sentiment for a cut among
members of both the house and senate, and
he said that for the first time a favorable
attitude toward a cut has become evident in
administration circles.
While Myers was telling the press in New
York what had happened at the meeting of
the committee it became known in Washington
that President Truman before leaving
Key West had indicated that he might favor
cuts in the so-called wartime excise levies,
if some way could be found to raise funds
from other sources. He is said to favor a
total budget of about $43,000,000,000. His annual
state of the union message will be delivered
to Congress January 4 or 5, and his
recommendations on the tax problem will become
known at that time.
AN EMERGENCY MEETING
In explaining the purpose of the COMF>0
meeting, Myers said: "Despite pre-occupations
with the approaching holidays, we called this
meeting on an 'emergency' basis. It is generally
felt that the impending campaign to
bring about repeal of the federal admission
tax is of such vital importance to the entire
industry that no time could be lost in organizing
our efforts on a nationwide, all-industry
score.
"Much splendid ground work already has
been done by various organizations and individuals,
but the time is now here when all
of our various fronts and forces should be
consolidated and coordinated into a united,
tight organization that will reach into every
ABRAM F. MYERS
On the Go for Tax Reduction
city and hamlet in the country.
"Congress will reconvene in a couple of
weeks. Many economists feel that 1950 is the
year of decision so far as the so-called war
taxes are concerned. If they are not repealed
by the present Congress, they may never be
repealed in our time. They may become a
part of our peacetime economy. So the time
for allout action is at hand.
"Incidentally, in mobilizing ourselves for
this fight against a discriminatory tax we
have an opportunity to further the overall
aims of the newly formed Council of Motion
Picture Organizations by illustrating how,
given a common cause, our industry can work
together in all its branches and command the
respect and consideration which we merit.
That, in itself, is public relations on the
highest plane.
"Our committee, at its meeting today, set
up the following general plan:
"1. Through our Washington committee, a
vigorous effort to present our case directly to
members of Congress, to the proper Congressional
committees. Preparation of briefs, etc.
"2. Through exhibitor, distributor-producer
committees, both on national and regional
basis, to mobilize the screens and personnel of
the theatres, exchanges and studios.
"3. Through campaign activities committee,
national and local, carry our message to the
public and by the vigor of our efforts against
the federal tax, to serve notice on local authorities
that we intend to oppose any proposed
local taxes with equal determination.
TO NAME COMMITTEES
"Appointments to the various committees,
national and regional, will be announced by
Chairman Myers from time to time.
"The campaign is on and we hope it will
develop into a demonstration of united
strength such as we haven't had in our industry
smce we did such a fine, unselfish job
during the war.
"We ask, and we are confident we shall
receive, full cooperation of the tradepress,
our principal line of communication within
the industry. This drive should make news
of interest to every worker in the industry,
every exhibitor, every distributor and even
to the millions of moviegoers who will benefit
by elimination of the ticket tax."
Myers added that he was highly pleased
with the progress made to date. He also
stated that H. M. Richey, exhibitor relations
contact for MOM, who had an important role
in the battle for ticket tax reduction after
World War I, had been assigned by MGM to
work with the committee.
Chicago Better Business Bureau
Attacks a Giveaway Promotion
CHICAGO—The Chicago Better Business
Bureau contended in its bulletin issued this
week that an advertising tiein between the
RKO Palace Theatre and Lander's restaurant
for "Undertow" (U-I) was a lottery and
utilized advertising copy unmailable under
the postal laws. As the tiein is similar to
dozens used regularly by exhibitors throughout
the country, the allegation of the Better
Business Bureau is of special interest to theatre
operators.
Both the theatre and the restaurant copy
offered free dinners to the first 50 persons attending
the RKO Palace after 5 p. m. on the
first three days of the picture. The Bureau
said that after complaints and an investigation,
it found the copy contained all three
elements of a lottery: No. 1—consideration
(the price of a ticket to the theatre) ; 2
chance (the possibility of being among the
first 50 persons to enter the theatre under
conditions outlined in the advertising copy),
and 3 — prize (the free dinners at the restaurant).
The bureau reported that it had informed
Ansel Winston, manager of the theatre, and
Lander that any further lottery advertising
would receive "such further attention as the
facts and circumstances appeared to warrant."
It is not believed that an issue will be made
of the Bureau complaint and its implied
threat of legal action if such a promotion
was undertaken in the future. However, as
this is one of the most common types of
tieins—a theatre and a merchant—it may be
that exhibitors will have to keep their promotional
material out of the mails. The tiein
in itself is not a law violation.
14 BOXOFFICE December 24, 1949