Modification of Exemption in respect of Temporary transfer or permitting the use or enjoyment of a copyright

Notification No. 25/2012-ST dated June 20, 2012 as amended by Notification no. 3/2013 dated 1.3.2013

Temporary transfer or permitting the use or enjoyment of a copyright relating to cinematographic films was fully exempt so far; now, this exemption will be restricted to exhibition of cinematograph films in a cinema hall or a cinema theatre.

The benefit of exemption under S. No 15 of the notification in relation to copyrights for cinematograph films will now be available only to films exhibited in a cinema hall or theatre.

This will allow service providers to pass on input tax credits to taxable end-users;