Entertainment industry to get boost in upcoming Budget

A complete overhaul of the tax structure for the entertainment industry would be brought about in Budget 2008-09 so that it experiences a real boom and becomes a global industry, information and broadcasting minister Priya Ranjan Dasmunsi announced here today.

Speaking at Focus 2007 organised by Assocham, the minister announced he was negotiating with the finance minister for bringing about tax rebates for the film and entertainment industry based on recommendations from groups set up to suggest changes in taxation. He said strict measures would be brought forth to curb piracy in the sector so that the entertainment industry does not suffer revenues losses — currently estimated to be between 25-30 per cent.

According to Dasmunsi, a group set up by the I&B Ministry on piracy prevention has already given its recommendations. Based on these recommendations, measures would be brought about in consultation with other Government departments, which would be announced by early 2008. He further said that the ministry would soon convene a meeting of all relevant stakeholders in Mumbai to finalise the agenda for bringing about structural changes in the entertainment sector, thereby enabling the industry to grow to a size of over Rs 75,000 crore in the next few years.