Hotels in Tamil Nadu to pay tax for DTH broadcasting service in rooms

Ravi budhwar

21 Apr 2011
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Hotels in Tamil Nadu will, henceforth, have to shell out an entertainment tax of 30 per cent for every room, which has a television receiving signals from a DTH (Direct to Home) broadcasting service. Hoteliers from the region have stated that the decision will hit them hard considering the bevy of taxes already imposed on them, according to a report in

According to The Amendment to the Tamil Nadu Entertainments Tax Rules, 1939, in the case of hotels or restaurants, each room or premises where signals of DTH broadcasting service are received, shall be treated as a separate place of entertainment. For that purpose, the proprietor of the hotel or restaurant shall be the subscriber for all rooms or premises which receive DTH signals.

T Natarajan, Honorary Secretary, South India Hotels and Restaurants Association said, “As it is, we have the highest Luxury Tax, VAT and every other tax. Already, hotels are paying a huge amount of money to receive transmission rights for certain satellite television channels. The additional entertainment tax on DTH services provided in every room will add to our increasing costs.” He further said that the decision is retrograde and hotels are not in a position to transfer the additional cost burden on customers.
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