Making tall claims of their films earning Rs. 100 crore may become a thing of the past if government’s new rule of putting an additional service tax of 12.36 per cent on a film’s earning becomes a reality. The news has upset the industry to the extent that the Film and Television Producers Guild
of India has decided to go on strike if the government enforces the tax on them. The tax is expected to be effective from this month.
“We are already paying entertainment tax, TDS (tax deducted at source) and income tax and now this additional tax is meant to exploit us further. Ab hume lagta hai…ye humare biwi bachchon par bhi tax laga denge. If this tax comes into force then it will end the film industry, as the movie making will become expensive which will lead to high-ticke