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This is an archive article published on April 9, 2015

Government notice to 3 more cable firms: Pay Rs 243 cr in dues

Time will be given to these companies to deposit the amount due to the government, a senior government official said.

After issuing notice to SITI Cables to pay nearly Rs 33 crore as entertainment tax dues, the government has sent similar notices to the three top players in cable industry in the capital.

According to senior officials, Hathways, Den and IndusInd together have been asked to pay dues to the tune of Rs 243,77,07,004 to the government. The figure includes the interest on dues and 100 per cent penalty for ‘evading’ payment of entertainment tax to the government.

The tax assessment is for the financial years 2013-14 and 2014-15. The notice states that M/s DEN Networks Ltd needs to pay Rs 88,81,07,618, while Hathway needs to pay Rs 58,99,02,568 for the two financial years.

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IndusInd Media and Communications Ltd has been directed to pay Rs 51,98,76,627 for these two financial years.

According to the figures submitted by these companies to the government, there are 26 lakh cable subscribers in the city.

Based on this and other figures made available to the government, it has assessed the tax liability of these companies.

A senior official said after cable services came into effect, these companies were given a buffer period of six months for transition from the old to the new system.

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“They have approached courts now. They cannot avoid payment despite their clout,” a senior official said.

“They need to file their tax every month. But despite repeated reminders, these companies have not yet filed their assessment of the two years. If they have collected money from the customers then they need to pay us. These companies, through their local cable operators, have been collecting entertainment tax from customers at the rate of Rs 20 per month. These figures include the interest and a 100 per cent penalty. This calculation has been done under the relevant provisions of the Delhi Entertainments and Betting Tax Act, 1996,” a senior government official said.

Time will be given to these companies to deposit the amount due to the government, he said. The companies could not be reached for comment.

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