Foreign TV companies contribute more to govt tax kitty

NEW DELHI: If paying up of tax is a yardstick, then it seems foreign satellite channels are doing better than their Indian counterparts.

Foreign television channel companies have, on an average, paid higher amount of income tax than Indian channels for the financial year 2000-2001, according to India's information and broadcasting minister Sushma Swaraj who was replying to a question on the issue in Lok Sabha (the Lower House of Indian Parliament) yesterday.

However, the minister did not divulge the amount of tax paid by individual foreign broadcasters in India during the year she referred to. In 2001, the Indian government had said that foreign broadcasters like Star, Sony, Discovery and MTV, Turner International India operating in India will have to pay taxes (as per the Income Tax Act) here as per their assessed income only if they are making profits. 

Before that, a presumptive method for taxation of foreign broadcasters was adopted in India. The change meant assessing officers will compute the profit and the foreign broadcasting companies will pay tax accordingly. 

Till this budgetary announcement was made, foreign broadcasters' Indian arm paid 48 per cent tax on 10 per cent of their total receipts in India (earnings from air time selling) which was deemed as profit. This was done under circular No. 742 issued by the government.

"If a company is not making profit, then it will not have to pay tax," a government official had explained in 2001.

Latest Reads
Disney restructures business in the face of digital disruption

MUMBAI: Walt Disney Co, on Wednesday, announced a sweeping restructuring aimed at accelerating its global expansion during a period of upheaval for Hollywood.

Television TV Channels English Entertainment
Sony's 'Dus Ka Dum' gets app boost

MUMBAI: After a successful season of Kaun Banega Crorepati (KBC), Sony Pictures Network is reviving Dus Ka Dum, another big reality show with superstar Salman Khan. The show is coming back on air for its third season after 2009. Since its initial airing, the entertainment landscape has changed...

Television TV Channels GECs
ZEEL scraps 9X Media acquisition

Owing to non-completion of certain material conditions, Zee Entertainment Enterprises Ltd (ZEEL) has terminated its deal to acquire music broadcaster 9X Media.

Television TV Channels Music and Youth
Viewers celebrate their love for hollywood blockbusters on my Star Movies at 9

Home to the biggest blockbusters, Star Movies leads the way in engaging audiences by giving them an opportunity of a lifetime to showcase their love for Hollywood films! My Star Movies at 9, for the first time ever, presents fans with a special proposition. Not only will they get to watch their...

Television TV Channels English Entertainment
Discovery unravels the underwater warriors of Indian Navy, the submarine arm, with Breaking Point: The Indian Submariners

Discovery Channel, India’s leading destination for factual entertainment, is launching a special series on the Indian Submariners as a part of its extremely popular Breaking Point Franchise. This is the first time that any private broadcaster will showcase a TV series on the underwater warriors of...

Television TV Channels Factual & Documentary
&Privé HD to premiere the gripping thriller 'The Hunter' this sunday

&Privé HD, the newest destination for nuanced cinema, is all set to premiere the Australian thriller-drama The Hunter on 18th of March at 1:00 pm and 9:00 pm. Directed by Daniel Nettheim, the riveting movie stars Willem Dafoe, Sam Neill, and Frances O’Connor in pivotal roles.

Television TV Channels English Entertainment
BBC takes ‘fake news’ battle global

The BBC today sets out its ambition to be a global leader in the fight against fake news, which is creating a huge decline in global audiences’ trust in media.

Television TV Channels News Broadcasting
Turner International creates digital advertising unit to connect brands with fans

Turner International is for the first time providing advertisers with a single way to activate a full suite of global, regional and local campaigns that connect with fans across Turner’s digital properties spanning over 200 countries.

Television TV Channels Kids
Star India renews BWF media rights till 2021

MUMBAI: Star Sports has renewed its Badminton World Federation (BWF) media rights for a four-year cycle. The deal is from 2018 to 2021 as per BWF calendar.

Television TV Channels Sports

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories