7(1)For the purposes of [F1 paragraph 4(4)] the requisite amount of the labour costs of a film shall be taken to be F2. . . whichever is the lesser of the two amounts specified in sub-paragraph (2) of this paragraph.U.K.
(2)The amounts referred to in sub-paragraph (1) are—
(a)the amount arrived at by applying the fraction [F3seven- tenths] to the total labour costs of the film, after deducting from those costs, if the applicant on an application under paragraph 2 so desires, the amount of any payment which, as part of those costs, has been paid or is payable in respect of the labour or services of any one person who was not, while engaged in the making of the film—
(i)a Commonwealth citizen or a citizen of a member State, nor
(ii)a person ordinarily resident in a Commonwealth country or a member State; and
(b)the amount arrived at by applying the fraction [F4three-quarters] to the total labour costs of the film, after deducting from those costs the amount of any payments which, as part of those costs, have been paid or are payable in respect of the labour or services of any two persons neither of whom was, while engaged in the making of the film, such a citizen or person as is referred to in paragraph (a)(i) or (ii), and at least one of whom was so engaged in the capacity of an actor or actress and in no other capacity.
[F5(3)Paragraph 4(6) has effect for the purposes of this paragraph as it has effect for the purposes of paragraph 4.]
Textual Amendments
F1Words in Sch. 1 para. 7(1) substituted (27.8.1999) by S.I. 1999/2386, arts. 2, 9(2)(a), Appendix Sch. 1
F2Words in Sch. 1 para. 7(1) omitted (27.8.1999) by virtue of S.I. 1999/2386, arts. 2, 9(2)(b), Appendix Sch. 1
F3Words in Sch. 1 para. 7(2)(a) substituted (27.8.1999) by S.I. 1999/2386, arts. 2, 9(3), Appendix Sch. 1
F4Words in Sch. 1 para. 7(2)(b) substituted (27.8.1999) by S.I. 1999/2386, arts. 2, 9(4), Appendix Sch. 1
F5Sch. 1 para. 7(3) substituted (27.8.1999) by S.I. 1999/2386, arts. 2, 9(5), Appendix Sch. 1