Big Shock To Balakrishna Producers

When AP government gave tax exemption to Natasimha Balakrishna’s historical entertainer Gautami Putra Satakarni, everyone hailed the decision. Many felt that the decision was made in the right earnest as they were of the opinion that such films should be encouraged.

However selective tax benefit by Andhra Pradesh government to Gautami Putra Satakarni and then rejected the same for another historical entertainer Rudramadevi, left all shocked. Rumours spread that AP Government headed by Chandra Babu favoured Gautami Putra Satakarni, as Balakrishna happens to be his relative.

Everyone knows that tax exemptions are given so that it benefits people and make them watch the film at low price and not to benefit the filmmakers. Citing this point, Advocate Adarsh Kumar, approached High Court last year filing a PIL. He pointed out that though tax exemptions were given to Gautami Putra Satakarni, people didnot derive any benefit as the ticket rates remained unchanged.

High Court which heard the case today wondered how could a producer claim the benefits of Entertainment Tax Exemption when it is meant to attract people to watch the film in the theatres. High Court served notices to both Telangana and Andhra Pradesh seeking its reply whether the ticket buyer or the producer should enjoy the benefits of tax exemption and posted the next hearing to August 16.