Bollywood opposes service tax, likely to go on strike

Mumbai: Several Bollywood producers will hold a meeting tomorrow to discuss the issue of service tax levied by the Centre on artistes and take up the matter with the government. The Centre's decision is effective from this month, and film and TV actors will be charged 12.36 per cent service tax on their earnings on programmes and endorsements. Artistes are opposing the move, saying it would cast additional financial burden on them as they were already paying income tax.

The meeting has been called by the Association of Motion Pictures and Television Program Producers (AMPTPP). "We have called a meeting tomorrow evening regarding service tax. We would discuss how we can resolve the issue and what should be done. A collective decision will be taken in this regard," AMPTPP President Sajid Nadiadwala told PTI.

Asked whether filmmakers would go on a strike if the service tax is not scrapped for entertainment industry, he said, "It's too early to talk about it." "We would meet and then decide what should be done. Service tax is a burden on the industry and we have to resolve the matter. We have to convey our point of view to the government. The issue needs to be tackled. Whether we will go on strike or not that has not been decided yet," AMPTPP's Vice-President told PTI.

On January 7, actors, directors, theatre owners and others in the South went on a hunger-strike in Chennai demanding that the service tax be scrapped. Superstar Akshay Kumar has also supported the protest against service tax.