Take Action to Oppose NY State Amusement Tax

   

Governor Paterson has proposed a sales tax on all entertainment and amusements in New York State.  This would add 8.375% to the cost of theatre tickets for commercial shows. High ticket prices are the major reason people cite for not attending theatre. Yet despite the current high price, most commercial theatre productions do not recoup.  Increasing ticket prices will mean a further decline in audiences while adding nothing to the Actor’s ability to earn a living or the Producer’s ability to recoup investment.

Sample Letter for Campaign

Subject: Take Action to Oppose NY State Amusement Tax

Dear [ Decision Maker ] ,

Live theatre is a critical part of the economy of both New York City and New York State. It is imperative that commercial theatre - Broadway, Off-Broadway and touring shows - remains vibrant and continues to be an economic stimulant for the City and for urban centers throughout the State.

I am a member of Actors' Equity Association, the union of professional actors and stage managers in live theatre. I'm one of 18,000 active Equity members living and working in New York State. Theatre is my profession and my livelihood. I count on theatre jobs to give me a modest but very real income with health and pension benefits.

I write to express my concern over Governor Paterson's proposed 2010 fiscal budget that incorporates both New York City and MTA sales tax provisions into the States sales tax, resulting in an 8.375% tariff on theatre tickets. The consequences of this tax could lead to a significant decline in theatre attendance throughout the State, directly impacting my ability, and that of my fellow Equity members, to gain employment. It will also seriously affect local communities served by theatres. It is critical to note that tourists visiting New York to see theatre spend disposable income on countless taxed goods and services, including restaurants, transportation, hotels and other attractions that compliment the Broadway theatergoing experience. Even in cities like Schenectady and Rochester where local residents make-up the majority of audiences, theatre patrons typically spend money on restaurants, transportation and parking.

Live theatre is facing difficult financial hurdles. Thirteen Broadway shows closed in January, commercial Off-Broadway is struggling and tours have suffered cancelled bookings and lay-offs. High ticket cost is reportedly the primary reason more individuals do not attend theatrical performances. Yet due to the inherent risk in producing a live show, despite current ticket prices the majority of commercial productions are not able to recoup.

I urge you to consider the long-term consequences of the Governor's tax proposal, which could outweigh the perceived short-term benefits, and avoid imposing a sales tax on theatre tickets. Your assistance is critical to ensure continued viability of the theatre industry in New York State.

Sincerely,

Campaign Launched:
March 02, 2009



Background Information

Governor Paterson has proposed a sales tax on all entertainment and amusements in New York State.  This would add 8.375% to the cost of theatre tickets for commercial shows.  (We believe most not-for-profits would be exempt from the tax.)  High ticket prices are the major reason people site for not attending theatre.  Yet despite the current high price, most commercial theatre productions do not recoup.  Increasing ticket prices will mean a further decline in audiences while adding nothing to the Actor’s ability to earn a living or the Producer’s ability to recoup investment.

This is not just a New York City problem.  Yes it will affect Broadway and Off-Broadway, but it will also affect communities with Performing Arts Centers, which will also be subject to the tax.  Many local theatres are able to survive and thrive because of the impact of the large performing arts center in the community.  We need to convince legislators throughout New York State that this tax is a bad idea.  Theatres provide jobs and put money back into the economy.  Any disincentive to theatre audiences will do harm to our industry.  Please take just a moment to send a letter to your State Senator and Assembly Member.