The Chinese Communist Party and its official media have recently intervened in a high-profile tax evasion case involving mainland actress Zheng Shuang, and mainland artists have taken steps to close their companies to avoid being involved.
The company’s main business is to provide a wide range of products and services to the public. Zheng Shuang was paid 160 million yuan for one drama, causing public outrage.
As the matter fermented, the official media of the Communist Party of China also said that the matter would not be settled. With the official intervention, three kinds of momentum have emerged in the mainland performing arts industry.
Firstly, the CCP authorities have asked the Beijing Radio and Television Bureau and Shanghai Radio and Television Bureau to cooperate with the taxation department to investigate the suspected illegal acts such as signing “yin and yang contracts” between the company concerned and Zheng Shuang, splitting the income to obtain “sky-high movie fees” and tax evasion, etc. If there are any illegal and irregular cases, they will be seriously dealt with. The situation will be handled seriously.
Some mainland legal professionals speculate that the incident will not be like the previous Fan Bingbing tax evasion case only heavy penalties, in addition to heavy fines of hundreds of millions of yuan, there may be sentenced to prison.
The Hong Kong Economic Times said in this regard that the mainland economy is not good this year, and the tax revenue is also very hard, in the face of another scandal in the performing arts sector, coupled with the high-profile criticism of the central authorities, local tax authorities have fist pumping enthusiasm. Some people think that non-first-tier stars like Zheng Shuang are involved in such a large amount of tax evasion, so it is hard to say that other first- and second-tier artist stars cannot be checked.
Secondly, the wave of Chinese Communist Party checks has not yet fully rolled up, many mainland actors have already started to close their studios, or directly close their companies held by their family members and friends. 15 big-name artists such as Deng Chao, Tang Yan and Na Ying were noted to have written off their studios this year, and netizens questioned whether they were afraid of being “cut leeks” by the authorities.
Then again, a large number of actors went south to Hainan to register new companies. Some data show that as of April 13 this year, Hainan has registered 2,062 new film and television-related companies. In March this year alone, more than 400 new companies were added.
The company’s main goal is to provide a platform for the public to learn more about the company’s business.
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