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HindustanTimes Thu,30 Oct 2014

Tax exemption notice took 17 days to reach cinema houses

Shruti Tomar, Hindustan Times  Bhopal, August 01, 2013
First Published: 10:40 IST(1/8/2013) | Last Updated: 10:45 IST(1/8/2013)

State government’s intention to promote Hindi film ‘Bhaag Milkha Bhaag’ by offering entertainment tax exemption doesn’t seem to have paid.

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The CM’s decision to this effect reached the cinema halls 17 days after the film’s release and by that time most of the people interested in watching the film on flying Sikh of India had already been to cinema halls.

Ayesha Khan, 19 said, “I waited for a week for decrease in the rates of ticket of the movie but finally I watched movie in full rates because I can’t wait further. The new movie releases on every Friday. But our government responded after two Fridays and it’s too late for a movie.”

Jyoti Cineplex owner Manish Baggha said that chief minister Shivraj Singh Chouhan announced tax exemption in the state to Bhaag Milkha Bhaag on July 21 but the notification of tax exemption delivered on July 29 that is after 17 days.

“We can’t follow verbal order. We follow order in written which we received two-day back. We decreased the rates of tickets just after receiving the notice of tax exemption. It’s true that notice of exemption of tax served late as most of the people had already watched movie but still people are coming to cinema halls to watch the movie.”

“Now, we are charging Rs. 83.65 for platinum seats instead of Rs. 100 while Rs. 50.3 for silver seats.” added Baggha.

Shilpi Gupta (28), a resident of Gautam Nagar said, “We didn’t find much difference in the rates of tickets after exemption. Government had delayed two and half weeks in exempting tax. If they really want to promote the movie, they should at least reduce the rate to the 50%.”

Tax consultant and chartered accountant Abbhay Chajjed said, “Government can reduce only entertainment tax which is 20% only. So the rate of movie has not decreased much in the state.”

Raj Pratap Singh (21), a resident of Indrapuri said, “I was waiting for decrease in rates of tickets of the movie in all three multiplexes - Fun cinemas, Inox and Cinepolis, but finally I am watching movie on Wednesday.

The tickets of all movies including Bhaag Milkha Bhaag are being sold out on the same rates.”

Fun Cinema manager Tarun Awal said, “We never charged entertainment tax on the tickets.

As per the government policy, the multiplexes are exempted from entertainment tax for a period of five years.”


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