Entertainment Tax On DTH

The Supreme Court upholds dual taxation on broadcasting, says states can levy entertainment tax alongside centre's service tax, and dismisses appeals by major DTH operators

The Punjab cabinet, led by chief minister Captain Amarinder Singh, today approved the levy of an entertainment tax by urban and rural local bodies on DTH and local cable connections, an official spokesperson said today. The government proposes to bring a new legislation in this regard in the next session of the Vidhan Sabha where it has a two-thirds majority. These local bodies will be eligible to impose and collect a nominal entertainment tax of Rs 5 per DTH connection and Rs 2 per local cable connection per month with the enactment of 'The Punjab Entertainments & Amusements Taxes (Levy & Collection by Local Bodies) Bill 2017', said the spokesperson. Local Bodies minister Navjot Singh Sidhu told the cabinet that the nominal tax would ensure accountability on the part of cable operators. With the new tax structure in place, the government would be able to ask them to disclose details of connections, which they have so far been prone to hiding in order to evade ..