The Hindu : Karnataka / Bangalore News : Outcry over cut in tax rebate of film ‘Krishna’

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Sunday, Feb 10, 2008
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Karnataka

Karnataka - Bangalore

Outcry over cut in tax rebate of film ‘Krishna’

K.N. Venkatasubba Rao

Film industry alleges violation of norms in films for subsidy

Bangalore: Anxious over the development of the Government’s reported decision to withdraw 100 per cent entertainment tax concession on the film “Krishna”, a delegation of the Kannada cinema industry has sought an appointment with the Governor.

They also have a grouse over the selection of some films for the annual subsidy, allegedly in violation of set norms.

The delegation comprising representatives of the Karnataka Film Chamber of Commerce, various associations of the industry, including Kannada Film Producers’ Association and Kannada Cinema Artistes’ Association, is likely to submit a memorandum to the Governor seeking his immediate intervention to set things right and consider its long-pending demands in the coming “Budget”, on Saturday or Sunday.

According to sources in the Kannada cinema industry, the memorandum will urge the Government to consider payment of subsidy for all original Kannada films and extend 100 per cent tax rebate for remakes for some more time.

Issues such as simplification of certain rules specified in the Cinematographic Act, earmarking funds in the Karnataka State Finance Corporation, as the Union Government has accorded industry status to cinema activities, extending subsidy for the construction of cinema halls and to establish a single window system for issuing fresh licences and renewals, will be addressed.

With several new issues surfacing, the industry is making a fresh bid to draw the attention of the Governor. It had submitted a similar memorandum to the H.D. Kumaraswamy Government. But the government had only announced that it would increase the number of films eligible for subsidy from 20 to 30 films a year.

The Government’s reported decision to withdraw tax concession on “Krishna” has caused heartburns to some of the exhibitors and distributors, where the film is still running to packed houses. A top official in the Department of Information was allegedly responsible for withdrawal of the tax concession despite being aware of its questionable originality, sources in the industry said.

On the issue of the alleged violation of norms in the selection of films for subsidy by a committee headed by filmmaker Girish Kasaravalli, producers Ba. Ma. Harish, Dhanaraj and Krishne Gowda told presspersons that the committee had violated its limits at several levels.

‘Scrap committee’

Demanding that the committee be scrapped, they argued that Mr. Kasaravalli had no moral right to head the committee as his actor daughter Ananya Kasaravalli featured in two of the films that were before the committee’s consideration.

They would submit a separate memorandum to the Governor on Sunday and observe dharana until they were accorded justice, Mr. Harish said.

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