Judicial hurdle in cable tax recovery

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Nashik : Though permission was taken o pay entertainment tax directly in the court, due to conflict between MSO and administration over number of consumers and bills, there is no information about number of consumers and whether cable operators are actually paying the tax or not. As court had ordered not to recover the tax from cable operators forcefully, cable operators are taking benefit of this. It is becoming clear that revenue of lakhs of rupees has not been recovered due to this.

The actual number of cable operators became clear after digitalisation of cable. As a result, theft in cable tax stopped and transparency came. There were arguments among cable operators and MSO over number of consumers, package of channels being given by MSO. As there was no expected recovery from cable operators, arguments took place between MSOs and administration.

All these disputes had then reached the court. Thereafter court had allowed some consumers to pay the tax directly in the court. 34 consumers from Nashik are among them. Besides this, court had ordered the administration not to recover the tax forcefully from these consumers. As a result, the administration softened its stand a little bit about these cable operators, but the administration is not getting information about the consumers of these cable operators and the tax they pay in the court.

According to the administration these consumers are not paying the tax. As Supreme Court had ordered to run the case regarding entertainment tax issue in Nashik, Amravati and other states in Delhi High Court, it will be resolved after decision of the HC, informed the administration.

“Cable operators are stating that they are paying the tax in the court. It also ordered not use force against them. This is the problem of 34 cable operators in Nashik. Hearing over the petition filed by cable operators across entire India is going on in Delhi High Court after SC order. The issue will get clear after its decision, but cable operators are not giving information about whether they are paying the tax or not. Information is not getting available from the court. We are of the view that they are not paying the tax,” stated Deputy District Collector Shashikant Mangrule.

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