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Tax Proposed On D.C. Movie Theater Concessions

Mayor Vincent Gray is proposing a tax on movie theater concessions, which already cost an arm and a leg in D.C.
Anders Adermark: http://www.flickr.com/photos/cmbellman/966122831/
Mayor Vincent Gray is proposing a tax on movie theater concessions, which already cost an arm and a leg in D.C.

A 5 percent sales tax on concessions sold at D.C. movie theaters, including popcorn and candy, has been proposed by Mayor Vincent Gray.

According to the D.C. Office of Motion Picture and TV Development, 75 percent of the revenue from the tax would go towards the opening of a movie theater east of the Anacostia River and 25 percent be used as incentives for film production in the District.

The latter portion of the revenue would replace existing incentives for filmmakers, which is currently drawn from other sources.

In an interview with the Washington Business Journal, a spokesman for the National Association of Theater Owners rejected the proposal outright, saying that theaters operate on thin margins already, and the tax would cut into their largest source of revenue.

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