Tamil Nadu Entertainments Tax and Local Authorities Finance (Amendment) Act, 1989*
| [Tamil Nadu Act No. 40 of 1989] | [17th November, 1989] |
An Act further to amend the Tamil Nadu Entertainments Tax Act, 1939 and the Tamil Nadu Local Authorities Finance Act, 1961.
Be it enacted by the Legislative Assembly of the State of Tamil Nadu in the Forty-sixth Year of the Republic of India as follows:-
* Received the assent of the Governor on the 17th November, 1989 and published in the Tamil Nadu Government Gazette, Extraordinary.
1. Short title and commencement.- (1) This Act may be called the Tamil Nadu Entertainments Tax and Local Authorities Finance (Amendment) Act, 1989.
(2) It shall be deemed to have come into force on the 1st July, 1989.
2. Amendment of section 4.- In the Tamil Nadu Entertainments fax Act, 1939 (Tamil Nadu Act X of 1939) (hereinafter referred to as the principal Act) in section 4,-
(1) for sub-section (1), the following subjection shall be substituted, namely:-
"(1) There shall be levied and paid to the State Government, a tax (hereinafter referred in as the entertainments tax) calculated at the following rates, namely:-
(a) on each payment for admission to any cinematograph exhibition, at the rate of forty per cent of the gross payment for admission inclusive of the amount of the tax;
(b) on each payment for admission to any horse-race,-
| Where such payment (inclusive of the amount of the tax) | Rate of tax. |
| (i) is not more than thirty paise | one-fourth of such payment. |
| (ii) is more than thirty paise but is not more than one rupee and fifty paise | one-third of such payment. |
| (iii) is more than one rupee and fifty paise | two-fifths of such payment." |
(2) after sub-section (2), the following shall be added, namely:-
"(3) The tax levied under clause (a) of subjection (1) shall be recoverable from the ???".
3. Omission of section 4-A and 4-C.- Sections 4-A and 4-C of the principal Act shall be omitted.
4. Amendment of section 4-B.- In section 4-B of the principal Act,-
(i) for the marginal heading "Additional surcharge on tax on payment for admission to entertainments", the following marginal heading shall be substituted, namely:-
"Additional surcharge on tax on payment for admission to horse-race";
(ii) sub-section (1) shall be omitted;
(iii) in sub-section (2), the expression "clause (a) of" shall be omitted;
(iv) in sub-section (3), the expression "Save as otherwise provided in sub-section (1)" shall be omitted.
5. Amendment of section 4-D.- In section 4-D of the principal Act,-
(i) in sub-section (1), for the expression "sections 4, 4-A, 4-B and 4-C of this Act and sub-section (1) of section 3 of the Tamil Nadu Local Authorities Finance Act, 1961 (Tamil Nadu Act 52 of 1961)", the expression "section 4 of this Act" shall be substituted;
(ii) in sub-section (2), the figures and the letters "4-B, 4-C" shall be omitted.
6. Amendment of section 5-A.- In section 5-A of the principal Act, for sub-section (1) and the Table thereunder, the following shall be substituted, namely.-
"(1) Notwithstanding anything contained in this Act, in the case of cinematograph exhibitions held in the theatres specified in column (2) of the Table below and located in the local areas specified in the corresponding entry in column (1) of the said Table, there shall be levied and paid to the State Government, a tax at the rate specified in the corresponding entry in column (3) thereof;
Provided that nothing contained in this sub-section shall apply to theatres, other than the temporary (touring) and open air theatres located in the area within five kilometres from the outer peripheral limits of the area where clause (a) of sub-section (1) of section 4 is in force:
Provided further that where the theatres, other than the temporary (touring) and open all theatres, located in the local areas specified in the Schedules fall within the scope of clause (a) of sub-section (1) of section 4 in view of their location within five kilometres from the outer ???
THE TABLE
| Local areas. | Theatres. | Rate of tax for every show. |
| (1) | (2) | (3) |
| (a) Municipality Selection Grade | (i) Permanent and semi-permanent theatre. | 35 per cent of the gross collection capacity for every show. |
| (ii) Temporary (touring) and open air theatres. | 26 per cent of the gross collection capacity for every show. | |
| (b) Municipalities, First Grade | (i) Permanent and semi-permanent theatres. | 34 per cent of the gross, collection capacity for every show. |
| (ii) Temporary (touring) and open air theatres. | 25 per cent of the gross collection capacity for every show. | |
| (c) Municipalities, Second Grade | (i) Permanent and semi-permanent theatres. | 30 per cent of the gross collection capacity for every show. |
| (ii) Temporary (touring) and open air theatres. | 23 per cent of the gross collection capacity for every show. | |
| (d) Municipalities, Third Grade | (i) Permanent and semi-permanent theatres. | 27 per cent of the gross collecting capacity or every show. |
| (ii) Temporary (touring) and open air theatres. | 22 per cent of the gross collected capacity for every show. | |
| (e) Selection Grade Panchayat towns | (i) Permanent and semi-permanent theatres. | 27 per cent of the gross collect capacity for every show. |
| (ii) Temporary (touring) and open air theatres. | 21 per cent of the gross collect capacity for every show. | |
| (f) Other Panchayat towns | (i) Permanent and semi-permanent theatres. | 25 per cent of the gross collect capacity for every show. |
| (ii) Temporary of (touring) and open air theatres | 20 per cent of the gross collect capacity for every show. | |
| (g) Panchayat villages | (i) Permanent and semi-permanent theatres. | 21 per cent of the gross collect capacity for every, show. |
| (ii) Temporary (touring) and open air theatres | 19 per cent of the gross ??? capacity for every show. | |
| (h) Townships (Municipal) | (i) Permanent and semi-permanent theatres. | 27 per cent of the gross ??? capacity for every show. |
| (ii) Temporary (touching) and open air theatres | 22 per cent of the gross ??? capacity for every show. | |
| (i) Townships (Panchayat) | (i) Permanent and semi-permanent theatres. | 25 per cent of the gross ??? capacity for every show. |
| (ii) Temporary (touring) and open air theatres. | 20 per cent of the gross ??? capacity of every show. |
Explanation I.-For the purposes of this section and section 5-B, "gross collection capacity" in relation to a cinematograph exhibition, means the notional aggregate of all payments for admission for a show (inclusive of the Entertainments Tax) if all the seats or other accommodation in the theatre as specified in the licence issued by the competent authority under the Tamil Nadu Cinemas (Regulation) Act, 1955 (Tamil Nadu IX of ???) were occupied by spectators.
Explanation II.-For the purposes of this section and section 5-B,-
(i) "Municipalities, Selection Grade" means the Municipalities specified in Part Act Schedule I;
(ii) "Municipalities, First Grade" means the Municipalities specified in Part B of Schedule I;
(iii) "Municipalities, Second Grade" means the Municipalities ??? in Part C of Schedule I;
(iv) "Municipalities, Third Grade" means the Municipalities specified in Part D of Scheduler;
(v) "Selection Grade Panchayat Towns" means the Selection Grade Panchayat Towns specified in Schedule II;
(vi) "Townships (Municipal)" means the townships specified in Part A of Schedule III;
(vii) "Townships (Panchayat)" means the townships specified in Part B of Schedule III;
Explanation III.-For the purposes of this section and section 5-B, "show" means one complete exhibition or the repeated exhibition, of a full length feature film with or without approved documentaries and news reviews, for one payment for admission".
7. Amendment of section 5-B.- In section 5-B of the principal Act, for sub-section (I) and the Table thereunder, the following shall be substituted, namely:-
"(1) In lieu of the tax payable under section 5-A, in the case of cinematograph exhibitions held in the theatres specified in column (2) of the Table below and located in the local areas specified in the corresponding entry in column (1) of the said Table, the proprietor of such cinematograph exhibition may, at his option and subject to such conditions as may be prescribed, pay the amount of tax to the State Government every week as specified in the corresponding entry in column (3) thereof:
Provided that nothing contained in this sub-section shall apply to theatres, other than the temporary (touring) and open air theatres, located in the area within five kilometres from the outer peripheral limits of the area where clause (a) of sub-section (I) of section 4 is in force:
Provided further that where the theatres other than the temporary (touring) and open air theatres, located in the local areas specified in the Schedules, fall within the scope of clause (a) of sub-section (1) of section 4 in view of their location within five kilometres from the outer peripheral limits of the area where clause (a) of sub-section (1) of section 4 is in force, nothing contained in the Schedules shall apply to such theatres.
THE TABLE
| Local areas. | Theatres. | Amount of tax. |
| (1) | (2) | (3) |
| (a) Municipalities, Selection Grade | (i) Permanent and semi-permanent theatre. | 30 per cent of the gross collection capacity for every show. |
| (ii) Temporary (touring) and theatres. | 20 per cent of the gross collection capacity for a show ??? 14. | |
| (iii) Open air theatres. | 20 per cent the gross ??? capacity for a show ??? | |
| (b) Municipalities, Second Grade | (i) Permanent and semi-permanent theatres. | 26 per cent of the gross, collection capacity for a show multiplied. |
| (ii) Temporary (touring) theatres. | 19 per cent of the gross collection capacity for a show multiplied. | |
| (iii) Open air theatres. | 18 per cent the gross ??? capacity for a show multiplied | |
| (c) Municipalities, Second Grade | (i) Permanent and semi-permanent theatres. | 26 per cent of the gross collection capacity for a show multiplied. |
| (ii) Temporary (touring) theatres. | 19 per cent of the gross collection capacity for a show multiplied. | |
| (iii) Open air theatres. | 19 per cent the gross ??? capacity for a show multiplied | |
| (d) Municipalities, Third Grade | (i) Permanent and semi-permanent theatres. | 22 per cent of the gross collecting capacity for a show multiplied. |
| (ii) Temporary (touring) theatres. | 18 per cent of the gross collected capacity for a show multiplied. | |
| (iii) Open air theatres. | 19 per cent the gross ??? capacity for a show multiplied | |
| (e) Selection Grade Panchayat towns | (i) Permanent and semi-permanent theatres. | 21 per cent of the gross collect capacity for a show multiplied. |
| (ii) Temporary (touring) theatres. | 17 per cent of the gross collect capacity for a show multiplied. | |
| (iii) Open air theatres. | 17 per cent the gross ??? capacity for a show multiplied | |
| (f) Other Panchayat towns | (i) Permanent and semi-permanent theatres. | 19 per cent of the gross collect capacity for a show multiplied. |
| (ii) Temporary of (touring) theatres | 16 per cent of the gross collect capacity for a show multiplied. | |
| (iii) Open air theatres. | 17 per cent the gross ??? capacity for a show multiplied | |
| (g) Panchayat villages | (i) Permanent and semi-permanent theatres. | 17 per cent of the gross collect capacity for a show multiplied. |
| (ii) Temporary (touring) theatres | 15 per cent of the gross ??? capacity for a show multiplied. | |
| (iii) Open air theatres. | 15 per cent the gross ??? capacity for a show multiplied | |
| (h) Townships (Municipal) | (i) Permanent and semi-permanent theatres. | 22 per cent of the gross Collection capacity for a show multiplied by 21. |
| (ii) Temporary (touching) theatres | 18 per cent of the gross collection capacity for a show multiplied by 14. | |
| (iii) Open air theatres. | 18 per cent the gross collection capacity for a show multiplied by 12 | |
| (i) Townships (Panchayat) | (i) Permanent and semi-permanent theatres. | 19 per cent of the gross collection capacity for a show multiplied by 17. |
| (ii) Temporary (touring) theatres. | 16 per cent of the gross ??? capacity for a show multiplied by 14. | |
| (iii) Open air theatres. | 16 per cent the gross ??? capacity for a show multiplied by 12". |
8. Amendment of section 5-C.- In section 5-C of the principal Act,-
(1) for the marginal heading "Tax under section 5-A or 5-B to be in lieu of the other taxes under this Act or under Tamil Nadu Act 52 of 1961.", the following marginal heading shall be substituted, namely:-
"Tax under section 5-A or 5-B to be in lieu of tax under section 4 of this Act";
(2) in sub-section (1), for the expression "No tax or additional surcharge shall be payable under section 4, 4-A, 4-B or 4-C of this Act and no surcharge shall be payable under the Tamil Nadu Local Authorities Finance Act, 1961 (Tamil Nadu Act 52 of 1961)", the expression "No tax shall be payable under section 4 of this Act" shall be substituted;
(3) for sub-section (3), the fallowing subjection shall be substituted, namely:-
"(3) The provisions of this Act (other than section 4, 6 and 7) and of the rules made thereunder shall apply in relation to the tax payable under section 5-A or 5-B.".
9. Amendment of section 5-D.- In section 5-D of the principal Act, the expression "or in the Tamil Nadu Local Authorities Finance Act, 1961 (Tamil Nadu Act 52 of 1961)" shall be omitted.
10. Amendment of section 5-F.- In section 5-F of the principal Act,-
(1) for the marginal heading "Tax under section 4-D, 5-D or 5-E to be in lieu of the other taxes under this Act or under Tamil Nadu Act 52 of 1961", the following marginal heading shall he substituted, namely:-
"Tax under section 4-D, 5-D or 5-E to be in lieu of fax under section 4 of this Act";
(2) for sub-section (1), the following sub-section shall be substituted, namely:-
"(1) No tax shall be payable under section 4, 5-A or 5-B of this Act by any proprietor exhibiting a cinematograph film on Television Screen through Video Cassette Recorder."
(3) in sub-section (3), the expression "4-A, 4-B, 4-C" shall be omitted.
11. Amendment of section 6.- In section 6 of the principal Act, in sub-sections (1-A) and (2), for the expression "the additional tax on cinematograph exhibition, the additional surcharge on entertainments tax and the additional surcharge on tax on cinematograph exhibition", the expression "and the additional surcharge on tax on payment for admission to horse-race" shall be substituted.
12. Amendment of section 7-A.- In section 7-A of the principal Act, in sub-section (3), the expression "or 4-A or under both" shall be omitted.
13. Amendment of section 7-B.- In section 7-B of the principal Act,-
(1) for sub-section (1), the following sub-section shall be substituted, namely:-
"(1) Where, for any reason, any payment for admission to any entertainment has escaped assessment to tax under section 4, the authority prescribed under sub-section (1) of section 7-A may, subject to the provisions of sub-section (3) and at any time within such period as may be prescribed, assess to the best of its judgment the tax due on such payment or exhibition under section 4, after making such enquiry as it may consider necessary and after giving the proprietor a reasonable opportunity to show cause against such assessment.";
(2) in sub-section (2), the expressions "or 4-A" and "or 4-A, as the case may be" shall be omitted.
14. Amendment of section 10.- In section 10 of the principal Act, in sub-section (1) the expression "or 4-A or under both" shall be omitted.
15. Amendment of section 13.- In section 13 of the principal Act, in sub-section (1),-
(i) for the expression "Tea per cent", the expression "Thirty per cent" shall be substituted;
(ii) for the expression "ninety per cent" in three places where it occurs, the expression "seventy per cent" shall be substituted.
16. Amendment of Schedule I.- In Schedule I to the principal Act,-
(1) in Part-A, after the heading "Pasumpon-Thevar Thirumagan district" and the entry relating thereto, the following heading and entry shall be inserted, namely:-
"Pudukkottal district.
Pudukkottai.";
(2) in Part-B, alter the heading "Madurai district" and the entry relating thereto, the following heading and entry shall be inserted, namely:-
"Nilgiri district.
Coonoor.".
17. Amendment of Tamil Nadu Act 52 of 1961.- In the Tamil Nadu Local Authorities Finance Act, 1961,-
(1) in section 3,-
(i) for the marginal heading "Levy of taxes as surcharge on entertainments, tax and on tax on ??? exhibitions", the following marginal heading shall be substituted, namely:-
Levy of tax as surcharge on tax on payment for admission to, horse-race";
(ii) for sub-section (1), the following shall be substituted, namely:-
"(1) Any local authority may levy in the from of a surcharge, a tax on each payment ???"
(2) in section in sub-section (2), for the expression "??? clause (a) or clause (b) of sub-section (1) of section 3 (including any penalty payable in respect thereof), in the sane manner as the tax under section 4 or section 4-A as the case maybe", the expression "under sub-section (1) of section 3 (including any penalty payable in respect thereof) in the same manner as the tax under section 4" shall be substituted;