An inadvertent error by the State government on the date from which entertainment tax has been revised has created confusion among officials and theatre owners.
Following a notice under section 374 of Chennai City Municipal Corporation Act 1919 by the Greater Chennai Corporation on the revision of the entertainment tax, Corporation officials on Tuesday started issuing revision notices on the tax for cinema theatres. However, officials said many theatre owners have raised questions about the date, as they still have to pay a higher rate of the tax for the period between September 27 and October 16.
“We are concerned about the possibility of protests by theatre owners. Currently, a few of them are aware of the error. We are yet to get clarity on the issue. We are waiting,” said an official.
The Tamil Nadu Local Authorities Entertainment Tax, 2017, was enacted with effect from July 1 and the notice dated September 29 was issued for levy of the tax with effect from September 27 at 10% for Tamil language films.
Delay in filing
“The revision was made with effect from October 16. It is likely to be an error. This error in date has forced theatre owners to file tax at rates higher than the revised rates. This confusion may delay the filing of returns,” said an official.
The Chennai Corporation has asked officials to issue notices to theatre owners.
But most of the entertainment tax officers at the zonal level are not likely to force tax assessees to file returns this week.
Assistant Revenue Officers of the Chennai Corporation have been designated as Entertainement Tax Officers.
