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Australia puts $22.6M into '20,000 Leagues' remake

Published on NewsOK Modified: April 2, 2013 at 11:08 pm •  Published: April 2, 2013

The payment comes in the form of a grant based on a percentage of the film's expected expenditures in Australia. The standard location offset has been 16.5 percent, though the film industry is lobbying for it to be raised to 30 percent.

The government announced last month the creation of a new AU$20 million fund to complement the location offset. It also said it would consider increasing the offset above 16.5 percent if the Australian dollar remained high.

It wasn't known how much the payment would offset the film's budget. It is a major inducement compared to those typically offered in America, where states often give tax breaks to movie and TV productions to film within their borders. This has caused a loss of production in Hollywood, called "runaway production," because California is not as generous with tax breaks as some other states.

"The securing of this film is a huge coup for the Australian film industry and for the near 1,000 local businesses that will be providing goods and services for the film," Gillard said in a statement.

"The Wolverine" in 3D opens in July in the United States, Australia and other countries.