Cable TV

Now, MSOs to collect entertainment tax in Maharashtra

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/smartcrop_800x800/public/images/cable_tv_images/2014/01/16/mso.jpg?itok=3MOa7PMi

MUMBAI: Cable operators in Maharashtra have been fighting tooth and nail to reduce the Rs 45 entertainment tax (ET) levied on them by the state government but nothing seems to be working. Now, in a fresh move, the state cabinet has approved an amendment which makes the multi-system operators (MSOs) responsible for the collection of ET from the Last Mile Owners (LMOs).

Earlier, the onus was on the LMOs, who were supposed to collect the ET along with the service tax and give it to the state. In December, the Maharashtra Cable Operators Federation (MCOF) moved the Court challenging the Maharashtra state government's amended gazette resolution (GR) regarding entertainment tax. According to the amended GR, it was mandatory for the LMOs to file a joint affidavit with the MSOs while paying entertainment tax. However, last month the Bombay High Court ordered an interim stay on the amended gazette resolution (GR) of ET.

MSOs and LMOs are all wondering whether this amendment will come into effect or  will it be regarded as as contempt of court, since the High Court's stay order is in place. As of now, no notification or communication has been issued to the parties involved. “We can only comment after the notification is passed. But we wonder what will happen since the matter is sub judice and the LMOs are stating that it is their business to deposit the tax,” says Hathway president Milind Karnik.

 

Indusind Media (InCable) managing director  Ravi Mansukhani is puzzled about  the government's move.  ""How can they pass this?," he asks. "The case is pending in several courts." But he adds that he is  "absolutely fine if the LMOs want to do it. It will be difficult for us to reach out to subscribers the way they do. The reason why the government has taken this step is  because it is easier to collect it from a few MSOs rather than so many LMOs"

MCOF is looking at approaching either the High Court or the Supreme Court depending on the circumstances. “We will definitely not comply and will continue giving the tax to the High Court only,” says MCOF task manager Bobby Shah.

The Maharashtra government expects MSOs in the state to give their customers bills that will include an additional Rs 45 as entertainment tax besides the service tax of 12.36 per cent following the notification. “Majority of people will have to shed more money for the cable TV service while a few will have to give marginally more than what they are currently paying,” says Shah.

However, the operators are still protesting against the high ET rate and want it to be reduced. “The amendment is not bothering us much, but what is important is the high rate of entertainment tax that needs to be brought down,” says Cable Operators and Distributors Association (CODA) president Anil Parab.

MOS ABS Seven Star CMD Atul Saraf says that he is fine with collecting ET from the LMOs. “But the amount needs to be reduced to just Rs 10 to Rs 15 so that the customer isn’t burdened with the extra cost,” he opines.

Now, it’s a wait and watch situation if the Maharashtra cabinet’s decision is regarded  as contempt of court, or if it will come into effect from the date of notification! Whatever happens, it’s surely going to bring clarity on the revenue that the government earns. 

Latest Reads

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/06/27/Tact-TV-Story.jpg?itok=LBDWW5jB
Arasu gets a month's extension to go digital

The Tamil Nadu Arasu Cable TV Corporation, which had been granted a provisional licence with the condition to digitise completely within three months, has now got an additional months time following a request by the state government.

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/06/24/navjot-peeush-kohali.jpg?itok=Z-EO--ty
Probe Punjab 'cable mafia,' demands minister, Fastway refutes charges

Punjab minister Navjot Singh Sidhu has alleged that the private TV cable company Fastway Transmission Private Limited, under the "patronage" of the previous Akali government, had caused a loss of around Rs 6840 million to the state exchequer. Because of the political patronage, only Fastway...

Cable TV Local Cable Operators
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/06/21/GTPL_0.jpg?itok=TInqv6RC
GTPL Hathway allots Rs. 1450 mn to anchor investors, IPO opens today

MUMBAI: GTPL Hathway has finalised the allocation of 8,555,294 Equity Shares at Rs. 170 per Equity Share (upper end of the Price Band) aggregating to Rs. 145.43 crore (Rs 1450 million) to anchor investors.

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/06/16/panesar.jpg?itok=Q9kTejf5
Hathway builds brand Special, adds two service categories

Hathway Digital, a leading MSO, has announced the introduction of ‘Play My Play’ – an exclusive and first-ever kind of service on television featuring full-length plays for Hathway’s theatre-loving patrons, and ‘Hare Krsna’ focused on eternal well-being by bringing out the deep learnings associated...

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/06/14/GTPL_0.jpg?itok=JZQ_pLw_
GTPL Hathway IPO proceeds may help increase subs base & penetration, hike stake in JVs

GTPL Hathway, India's leading cable TV distribution company reaching an estimated eight million households in 10 states, proposes to open on 21 June an initial public offering of equity shares of face value of Rs. 10

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/06/06/LCO.jpg?itok=h__XSoKD
LCOs to get unique TRAI number to ensure fair deals, says advisor Gupta

NEW DELHI: Despite claims of major achievements in all parts of the country in digital addressable system, a meet held recently in Chandigarh presented a dismal picture with many local cable operators complaining that the switching off of analogue had badly affected their business. In the seminar...

Cable TV Local Cable Operators
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/06/05/rajesh-Wadhwa.jpg?itok=DHHwbPab
Rajesh Sethi succeeds Wadhwa as ED & CEO of SITI Networks

NEW DELHI: Senior media expert Rajesh Sethi has been appointed Executive Director CEO of SITI Networks Limited, as V D Wadhwa is stepping down.

Cable TV People
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/06/05/shrma.jpg?itok=JZfidd_2
DEN Networks exits TV home shopping channel business

It’s focusing on its core competence: cable TV distribution and broadband. Three years after it announced its intention to get into TV home shopping, the Samir Manchanda-promoted multi systems operator Den Networks Ltd is now exiting from it.

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/06/01/Rajan_Gupta-annusir.jpg?itok=HMhGVovf
GTPL Hathway gets SEBI nod for Rs 600-cr June IPO, to repay loans, expand cable & b'band with new tech

MUMBAI: GTPL Hathway, a part of Hathway Cable and Datacom which offers cable TV and broadband services, is preparing to raise around Rs 600 crore through an initial public offer (IPO) in June. Proceeds from the IPO will be utilised towards repayment of loan and other general corporate purpose, PTI...

Cable TV Multi System Operators

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories