There has been a steep decrease in revenue receipt from amusement and luxury taxes in Manipur following the ban on Hindi movies by Revolutionary Peoples Front (RPF) since 2000, Manipur commissioner of taxation, Shailesh Kumar Chourasia told reporters in Imphal on Wednesday.
In September 2000, RPF had issued a notice banning the use of Hindi, specifically screening of movies and television shows in Manipur.
Due to the impact, the government has to lose a huge amount to the tune of several crores of rupees every year from the amusement and luxury taxes. Chourasia however said that there has been rise in collection of taxes from other sources in the state.
Chourasia highlighted major achievements of taxation department during past years, said that Value Added Taxes (VATs) was the maximum revenue earner Manipur.
He said, “The revenue collected under the head VAT & CST (central sales tax) has shown a steady increase over the last seven years and is expected to go up further in the coming years.”
In 2015-16, the department has collected Rs 468.24 crore and the final figure is expected to go up to Rs 480- 490 crore by the end of this fiscal year, he added.
The amount collected in the year 2009-10 under this head was Rs 163.28 crore, this rose up to Rs. 395.74 and 432.49 in 2013-14 and 2014-15 respectively, he revealed.
The department was initially functioning under Assam Sales Tax Act, 1947 (as extended to the State of Manipur) & The Manipur (Sale of Motor Spirit and Lubricant) Taxation Act, 1962. It was later replaced by the Manipur Sales Tax (MST) Act, 1990 in the year 1990.
From July 1, 2005, the Manipur Value Added Tax (MVAT) Act, 2004 came into force.
Under MVAT Act Tax is levied at every points of sale starting from the level of manufacturer to the level of retailer only on the incremental value caused by value addition, he said.