Budget 2013: Exempt multiplex operators from import duty on cinema exhibition equipments, says FICCI

NEW DELHI: In its pre-budget 2013 memorandum, Federation of Indian Chambers of Commerce and Industry ( FICCI) has recommended that multiplex operators should be exempted from payment of duties on import of cinema exhibition equipments.

The chamber also feels that the industry should be entitled to take full credit of certain 'input services' which are commonly used for non-taxable as well as taxable activities.

According to FICCI it has been suggested by the Empowered Group of Ministers that the entertainment tax be included in Goods and Services tax (GST). "However, pending the introduction of GST regime it is suggested that rationalization of rates of entertainment tax across various states at a uniform level should be encouraged by central government," said FICCI.

FICCI feels that the revenue jump on account of entertainment tax will be 5 to 7 times because of associated transparency under which the complete count of subscribers would be available.

Finance Minister P Chidambaram will present the Union Budget 2013-14 on February 28. The industry is looking at the budget to boost economic sentiment.