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Maharastra State govt exempts copyright of films from VAT


22 Mar 2011
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The government of Maharashtra has exempted the transfer of copyright of films from VAT, relating to the exhibition of films in theatres. This was announced by the State Finance minister Ajit Pawar.

Earlier, a producer had to pay VAT while giving the print of his film to a distributor for release. While the new move could result into huge savings for filmmakers, it will cost the state Rs 1 billion that it would have earned from this tax.

Most of the filmmakers in India had opposed VAT after it was imposed
in 2005. Many other states in India which have a film industry do not
levy such a tax

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