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NEW
DELHI: Two sub-committees have been set up by the information
and broadcasting ministry to look into the issue of "right
of way" and "rationalisation of taxation" for
the entertainment industry.
This
is a clear effort on the part of the I&B ministry to placate
an irate entertainment industry disappointed with the rejection
in the Union Budget of all their demands.
In
letters sent to the people who have been appointed as members,
it has been stated that both committees will be headed by
additional secretary Uday Kumar Verma.
Cable
Operators Federation of India (COFI) president Roop Sharma
told indiantelevision.com that she had been nominated
as member in both sub-committees.
However,
she said that no deadline has been stated for any report,
and this would be decided after the two sub-committees hold
their first meetings.
One
sub-committee will examine the rationalisation of entertainment
tax levied by state governments on sectors like Cas, DTH and
multiplexes, among others.
The
sub-committee also consists of members from the MSO alliance,
DTH players and entertainment commissioners of states like
Delhi, Uttar Pradesh and Maharashtra, among others.
It
is learnt that the taxation on DTH services and cable services
cumulatively add up to as much as 56 per cent.
The
sub-committee on right of way will consist of members from
the telecom ministry, urban development ministry, power ministry
and Telecom Regulatory Authority of India (Trai).
Municipal
bodies and state governments charge a tax for laying cables
or using electricity and telephone poles, termed right-of-way
charges.
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