Kerala may reintroduce entertainment tax on other language films

By: | Published: June 11, 2018 8:17 PM

Responding to the demand of the film industry, the Kerala government had decided to scrap entertainment tax on films last year to avoid possible issues of double taxation in view of the implementation of GST.

kerala, entertainment tax, other language films, keral govt entertainment tax, t m thomas isaacThe Kerala government would consider reintroducing entertainment tax on other language films screened in the state, Finance Minister T M Thomas Isaac said today.

The Kerala government would consider reintroducing entertainment tax on other language films screened in the state, Finance Minister T M Thomas Isaac said today. The government would also contemplate implementation of a centralised e-ticketing system in theatres with a view to check tax evasion in the industry, he told the state assembly. Admitting that gross tax evasion was taking place in the industry, he said introduction of e-ticketing system, which has already been put in place in state-run theatres, was one of the means to check it.

Responding to the demand of the film industry, the Kerala government had decided to scrap entertainment tax on films last year to avoid possible issues of double taxation in view of the implementation of GST. “The reintroduction of entertainment tax on other language films released in the state is a suggestion that can be considered seriously,” Isaac said. He was replying to a calling attention motion, moved by actor-turned MLA, Ganesh Kumar (KC-B), on the need to end tax evasion in the film sector, consequent to the implementation of GST.

“Kerala should follow the examples of Tamil Nadu and Karnataka in imposing entertainment tax on other language films. We should impose at least 15 per cent tax on such films screening in our state to improve the tax revenue,” he said. Minister for Cultural Affairs and Cinema A K Balan said the e-ticketing system had already been implemented in theatres under the Kerala State Film Development Corporation (KSFDC). KSFDC is already working on implementing a centralised system for the e-ticketing, the minister added.

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