IndianMascot
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The Maharashtra government has issued a circular asking all local cable operators (LCOs) in the state to pay their entertainment tax directly to district collector in the interim till the Bombay High Court or the Nagpur High Court takes a final call on the issue.
However, the state government has added a condition whereby LCOs have to provide a joint affidavit with multi-system operators (MSOs) to pay their entertainment tax.
It is pertinent to note that the government had issued a circular on 7 March directing MSOs to pay entertainment tax. The government’s move was met with stiff resistance from the LCOs who saw it as a ploy to deny them legality as the owner of last mile customers.
Traditionally, the LCOs have been collecting entertainment tax from end customers and paying it to the government, though there was a huge under-reporting of the actual subscriber base. However, the government wanted MSOs to pay entertainment tax since it does not want to deal with thousands of LCOs.
Irked by the move, the LCOs led by Maharashtra Cable Operators Federation (MCOF) and Nashik District Cable Operators Federation (NDCOF) moved Bombay High Court seeking a stay on the state government’s decision to allow the MSOs to pay entertainment tax.
The Bombay HC passed an interim order by staying the government order till a final outcome in the case. The HC also asked the LCOs to deposit entertainment tax either with the court or the collectorate.
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However, the state government has added a condition whereby LCOs have to provide a joint affidavit with multi-system operators (MSOs) to pay their entertainment tax.
It is pertinent to note that the government had issued a circular on 7 March directing MSOs to pay entertainment tax. The government’s move was met with stiff resistance from the LCOs who saw it as a ploy to deny them legality as the owner of last mile customers.
Traditionally, the LCOs have been collecting entertainment tax from end customers and paying it to the government, though there was a huge under-reporting of the actual subscriber base. However, the government wanted MSOs to pay entertainment tax since it does not want to deal with thousands of LCOs.
Irked by the move, the LCOs led by Maharashtra Cable Operators Federation (MCOF) and Nashik District Cable Operators Federation (NDCOF) moved Bombay High Court seeking a stay on the state government’s decision to allow the MSOs to pay entertainment tax.
The Bombay HC passed an interim order by staying the government order till a final outcome in the case. The HC also asked the LCOs to deposit entertainment tax either with the court or the collectorate.
Wish to read further, ------------>