The new service tax regime introduced by the Government which came in to effect from 1st of July had hit hard the film stars and other technicians across the country. According to this new regime, 12% Service tax will be levied on all the services except 38 activities put on negative list.
And now the actors will have to pay 12 percentage service tax along with 30 percentage Income tax.
Filmmakers from across industries, including Sanjay Dutt and Mukesh Bhatt, have been discussing with Suresh Babu, the President of Andhra Pradesh Film Chamber of Commerce on what to do next.
Movie Artists’ Association is planning to give a representation to the Government to reduce the tax below 5%. They are even planning to go on a national bandh, if necessary.