The proposal to levy entertainment tax will come up in the House meeting scheduled for Monday. As per the proposal that is being prepared, 20 percent tax is likely to be levied on tickets of Rs 100 and below while 30 percent tax will be levied on tickets above Rs 100. In most of the multiplexes, the tickets cost more than Rs 100.
Congress Councillor Devinder Singh Babla said that his party will oppose the move as the BJP government has just been levying taxes on people and burdening them.
The agenda had been pending since long. In August 2017, the Lok Sabha had passed a bill that sought to transfer the central government’s power to levy entertainment and amusement taxes in Chandigarh to its municipal corporation.
“To keep the health of the municipalities in mind, the municipalities have been given the right to levy a certain reasonable tax if they feel so. Now, this is a dichotomy. But this is how the architecture has come about. I have personally written to every chief minister saying that till such time that the GST stabilises itself, we must not consider seriously imposing some of these taxes because they may increase the burden,” the then Finance Minister Arun Jaitley had said while replying to a brief debate on the Punjab Municipal Corporation Law (Extension to Chandigarh) Amendment Bill 2017.
Under the 1994 Act, the central government had the power to levy entertainment tax and entertainment duty for Chandigarh, it was stated in the Parliament.
The general house will also discuss the issue of separate commercial water connections to the domestic consumers of villages who have undertaken small commercial activities within their residence. This will be part of the amendment in the Chandigarh water supply bylaws 2011, if the general house approves the same.