Multiplexes urge Centre to reduce GST on film industry

May 23, 2017

Bengaluru, May 23: The Multiplex Association of India (MAI) has requested Prime Minister Narendra?Modi, Finance Minister Arun?Jaitely and the Goods and Services Tax Council to lower the GST rate for the film industry and evolve a system whereby entertainment tax levied by local bodies is allowed to be set off from GST liability.

Multiplexes

“We are completely shocked as the GST Council has decided to tax cinemas at the prohibitive rate of 28%, while we had expected the GST rate for cinemas to be either 5% or at worst 8%,” stated a press release by Deepak Asher, president, MAI.

Globally, taxes on entertainment are usually in single digits, since entertainment is seen to be an essential ingredient of social infrastructure. In several countries, taxes on entertainment are usually half the “revenue neutral” rate of GST, the release stated.

Many states are empowering local bodies to levy an additional entertainment tax. In substance, cinemas could well end up paying, not just a prohibitive 28% GST, but possibly a 10%-25% local body entertainment tax as well. This dual taxation at prohibitive rates would not only lead to substantial increase in ticket prices for cine-goers, but could well sound the death knell for the film industry, which already is faring quite badly due to the continuous onslaught of piracy and other formats of content delivery to the consumers, the release added.

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May 1,2024

Mangaluru: The Bengaluru-Mangaluru air route has recently surpassed the Mumbai route to become the busiest for Mangaluru International Airport.

According to the Directorate General of Civil Aviation’s city pairing data for March this year, 51,734 passengers travelled between Mangaluru and Bengaluru, while 50,340 passengers flew on the Mangaluru-Mumbai route.

In January and February, the Mumbai air route had the highest passenger flow with 60,306 and 52,732 passengers, respectively, compared to 53,509 and 47,530 for Bengaluru during the same months. However, the trend shifted in March, with the Bengaluru-Mangaluru route surpassing Mumbai.

An official from MIA explained, “The first reason for Bengaluru taking over Mumbai is that flights that almost fly full to Mumbai were reduced from March, after the ministry of civil aviation suggested easing air traffic congestion at Mumbai airport. The air carrier IndiGo, which used to operate four flights a day from MIA, reduced it to three. Air India Express, which operates two flights a day, has made no changes. As a result of this, Bengaluru has taken over Mumbai. A total seven flights operates per day to Bengaluru.” 

The official added that despite the reduction in flights, the Mumbai route still experiences high demand. DGCA data for 2023 shows that the Mumbai and Bengaluru sectors have experienced growth of 11.9% and 19.3%, respectively.

The Mangaluru-Mumbai sector has seen a total of 5,52,767 passengers, followed by Bengaluru with 5,52,500 passengers in the same calendar year.

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May 1,2024

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Karnataka Chief Minister Siddaramaiah on Wednesday attacked the BJP over the obscene video case in Hassan district by questioning who gave the accused Prajwal Revanna a visa to go abroad. He also hit out at Union Minister Amit Shah asking why did he gave a ticket to Hassan JD(S) MP Prajwal, who is the accused in the sex scandal case. 

He alleged that former Prime Minister and JD(S) supremo H D Deve Gowda planned the escape of his grandson and Hassan MP Prajwal Revanna abroad. 

“Who gives passport and visa for travelling abroad? It’s the Centre. Can he go without the Centre’s knowledge? It was former Prime Minister H D Deve Gowda who planned and sent him abroad,” the Chief Minister said.

"Prajwal pen drives case is not related to DCM DK Shivakumar. Why did Amit Shah give a ticket to the accused of a sex scandal?" he questioned.

Siddaramaiah also wrote to Prime Minister Narendra Modi requesting him to direct the Ministry of External Affairs and Ministry of Home Affairs to cancel the Diplomatic Passport issued to Prajwal Revanna and ensure his return to face the law.

Prajwal is accused in an alleged sex scandal which is under investigation by a Special Investigation Team (SIT) constituted by the Karnataka government. He is believed to have escaped to Germany shortly after polling in the first phase of elections in the state got over on April 26, in which Prajwal was the JD(S)-BJP combine's candidate from Hassan. 

The Karnataka CM said that SIT will conduct an investigation in a transparent manner in the case.

Earlier, Siddaramaiah wrote on X, "The government has decided to form a special investigation team in connection with Prajwal Revanna's obscene video case. Obscene video clips are circulating in Hassan district, where it appears that women have been sexually assaulted."

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April 24,2024

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With the Karnataka transport department extending the deadline for the installation of High Security Registration Plate (HSRP) twice--- in November last year and February, it is no longer planning to extend the same. The department ordered for the installation of HSRP before May 31.

The transport department through a notification in August last year, had mandated the installation on all the vehicles that were registered in the state prior to April 1, 2019. According to transport officials, there are nearly two crore vehicles that are supposed to get HSRP for their vehicles.

“As of now, the state has registered only 34 lakh HSRP installations, despite extending the deadline twice. From nearly 18 lakh installations since February, the numbers have almost doubled. However, there are still a large number of vehicles that have to opt for HSRP,” said C Mallikarjuna, Additional Commissioner for Transport (Enforcement).

“We will wait till May 31 to check for the total number of vehicles that fall in line. We are expecting HSRP installations to touch 75 lakh, after which we will consider an extension as the numbers indicate that people are falling in line and if some more time is given everyone will get it done. However, if we do not reach that number before the deadline, we will request the government not to extend the deadline but urge for an enforcement,” he said.

He also stated that a fine of Rs 500 will be imposed for the first time and if vehicle owners do not fall in line, it will be Rs 1,000 later until they have installed HSRP. “We will wait till the Model Code of Conduct ends and take the government’s opinion. We are going to request the government for strict enforcement if the HSRP installations are not satisfactory,” he added.

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