CA NeWs Beta*: Raid at multiplexes reveals 25 crores tax evasion

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Monday, July 30, 2012

Raid at multiplexes reveals 25 crores tax evasion

Indore: Four Multiplexes of city accepted 25 crores entertainment tax
evasion after the raid of Income tax department. Suprisingly these money
was raised from customers illegally. According to V S Bhadoriya Deputy
Commissioner of Anti evasion bureau of Commercial tax department,
department raided Inox multiplex on Wednesday whereas Adlabs and
Velocity on Friday.



Government had given discount in entertainment tax for five years to
these multiplexes instead they were charging tax to customers and were
not depositing to department. According to rules government had given
discount to new multiplexes for five year in entertainment tax to
promote them.



They have to apply for a certificate for discount, but the tax raised
between the time of application and certificate being issued they have
to deposit the raised tax to IT department. These multiplexes were
charging customers even after getting certificate. Department is also
checking the records of other multiplexes in city.

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