Punjab News Punjab may levy entertainment tax on Kings XI

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Punjab may levy entertainment tax on Kings XI

The Punjab government may charge entertainment tax from the Indian Premier League (IPL) matches to be played at the Punjab Cricket Association (PCA) stadium in Mohali.

About a week ago, the Excise and Taxation department had issued a notice to the Kings XI Punjab, which inquired about the ticket sales at PCA stadium.

The notice questioned that why entertainment tax should not be charged from the team for hosting IPL matches, as it was a commercial venture and the team management was earning money — five matches will be played in Mohali during the tournament.

"A notice was issued to Kings XI Punjab. They have replied that they should be exempted from entertainment tax, as no tax was charged in the last two IPL tournaments," Punjab Excise and Taxation Commissioner A Venu Parshad told Newsline. "We have referred the matter to the state government, which will decide weather to charge the tax or not."

Sources said if the government decided to charge the tax, the team management would have to pay 25 per cent from ticket sales.

At present, only the Delhi government charges entertainment tax on IPL matches — the Maharastra government recently backed off from charging the tax.

A few days ago the state Cabinet had reduced the entertainment tax from 125 per cent to 25 per cent in the state.

Sources said so far the government did not charge a single penny from Kings XI Punjab, as the Punjab Cricket Association was exempted from entertainment tax.

But the argument in support of charging the tax is that the PCA stadium has been hired for IPL tournament. Thus, technically, PCA is not hosting the matches.

The Kings XI Punjab, meanwhile, have not given money to the Punjab Police for the security they provided for IPL matches.

"We took up this matter in the past but did not get any money. We will again take up this issue and calculate the security bill they need to pay," G P S Bhullar, Senior Superintendent of Police, Mohali, said.

Security stepped up around PCAIn view of the recent arrest of three suspected militants of the banned Babbar Khalsa International (BKI), security has been stepped up around PCA stadium for Wednesday's match. A DSP with adequate personnel has been deputed to move along with the players, whose routes to and from the stadium would be heavily guarded. Besides, around 300 cops have been added to the 1,583 personnel, who guarded the stadium in the previous match, a senior police officer said. Also, separate routes have been earmarked for the shuttle bus service and new signboards have been fixed to guide spectators. On Wednesday, eight buses will start service from Dussehra Ground in Phase VIII and LIC site in Sector 49 from 5 pm onwards.
 
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