Taxes And Incentives

Andhra Pradesh

– 21% – for films produced outside the State
– 08% – low budget Films produced in State
– 16% – big budget films produced in State

Assam

– Up to Rs.2000/- 80%
– Above Rs. 2000/- 100%

Bihar

Entertainment Tax in Bihar State is 110% at present on admission on Rate whereas the Government has power by legislation upto 150% in the year 1985. Government of Bihar introduced the compounding of Entertainment applicable in whole of Bihar from 14 th August 1985. Whole of Bihar have been divided into Eleven category according to the population of that place.

Population%Shows
Up to 2500010%14
25000 to 5000013%17
50000 to 7500015%17
75000 to 10000017%19
100000 to 15000019%23
150000 to 20000021%23
200000 to 25000023%23
250000 to 30000025%23
300000 to 35000028%23
350000 to 40000030%25

Above 400000 Compounding of Entertainment tax is computed on the basis of Gross collection capacity per show (Admission Rater & Entertainment Tax & Gross collection)

Chandigarh – 50%

Chattisgarh – 30%

Delhi – 30%

Gujarat

– 35% – Population less than 1 Lakh
– 40% – (More than 1 Lakh)

Haryana – 50%

Himachal Pradesh – No Tax.

Jammu & Kashmir – No Tax.

Karnataka

– 40%
– No tax for Kannada Films

Kerala – 30%

Madhya Pradesh – 20%

Maharashtra

– 45%
– No tax for Marathi Films.
– Besides tax exemption subsidy of Rs.15 lakhs is given to Marathi Films.

In Maharashtra the subsidy given to the producers are as under:
1. Rs.15 lakhs at the time of starting the next production.
2. Rs.20 lakhs if the film is being produced in 35 mm Dolby/Digital. This subsidy is given to 5 producers in a year on the basis of the script selected by the government.
3. Additional Rs.15 lakhs if the film gets a National Award.

Odisha

– 60% – Admission rate upto Rs.2
– 70% – Admission rate above Rs.2

Panjab – No tax.

Rajasthan – 35%

Tamil Nadu

– No Tax – Tamil Films
– 15% – Others

Uttaranchal – 40%

Uttar Pradesh – 60% (expected to be 30% soon)

West Bengal

– 10% – Bengali & Nepali
– 30% – Others

Source: Film Federation of India

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