Movie theatres were evading tax worth crores in Ahmedabad(Video)

Ahmedabad, 17 July 2012

Till last year the annual entertainment tax revenue registered at Ahmedabad district collectorate was Rs 12 crore. Last year the revenue increased and was Rs 22 crore. The target of the revenue next year is Rs 30 crore. This detail was shared by Ahmedabad district collector Shri Vijay Nehra today during his interaction with media.

Theaters falling in the ‘video theater’ category pay lower tax compare to full-scale theaters. The district Collector in his probe found that as many as 28 video theaters in Ahmedabad were actually the full-scale theaters. They were providing facilities like a full-scale theater and were earning too like a full scale theater, but they were paying entertainment tax as low as Rs 6-8,000, thanks to a ‘video theater’ status they were enjoying. Now compare this 6-8000 with the sum of Entertainment tax for any full-scale theater, which is Rs 1-2 lakh per month.

The district administration has recovered actual entertainment tax from 28 luxurious video theaters including 4 screens of City Gold Ambli, four screens of City Gold Shyamal, 4 screens of City Gold Bapunagar, 3 screens of City Pride Saijpur, 4 screens of City Pulse Raipur, 4 screens of Revolution CTM, 4 screens of Wide Angle, 1 screen of Shyamal Gold Bareja, 2 screens of Ke Sera Sera, and 1 screen of BPCL Bareja.