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Strict norms on entertainment tax

IndiaGlitz [Wednesday, July 27, 2011]

We all know the 15% tax exemption that prevailed in Tamil Nadu, during the rule of DMK. The present Tamil Nadu Government has issued strict rules for Tamil feature films bearing Tamil titles to avail this entertainment tax exemption.

Now, films that have been given a 'U' certificate by the censor board alone are eligible for tax exemption. The storyline should lead to the development of Tamil as a language or as a culture, and majority of the dialogues in the film should be in Tamil. Also, films that are violent or those that boast off adult content aren't eligible for this tax waiver.

These rules are applicable to films that have applied for this tax exemption. However, with these rules it is likely that most commercial films will not receive the tax benefit as most of them have an 'A' certificate or are violent.

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