With the implementation of the Goods and Services Tax (GST), the Tamil Nadu government on Saturday introduced a bill to repeal the Tamil Nadu Entertainments Tax Act 1939 as the tax is subsumed in the new indirect tax regime.
Until now the entertainment tax used to be collected by panchayats and municipalities. From July 1, the local bodies will get a share from the GST collection. The bill was introduced by state minister for municipal administration and rural development S P Velumani.
Tamil Nadu Entertainments Tax Act 1939 enables the state government to levy and collect entertainment tax. Recently the constitution was amended and hence, the government has decided to repeal the Tamil Nadu Entertainments Tax Act under section 174 of the proposed TNGST Act.
The government has decided to bring new legislation so as to enable the local bodies to levy and collect the tax on entertainment and amusement, said, Minister S P Velumani.
