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TMI Blog2015 (4) TMI 608X X X X Extracts X X X X X X X X Extracts X X X X ..... Rs. 49/- tickets and also deleting penalty levied under Section 6-A(4) on entertainment tax levied on Rs. 25/- and Rs. 49/- tickets. 2. The assessee had organized DLF/IPL/2010 Cricket matches at Karnataka State Cricket Association Stadium, Bangalore on various dates and totally 7 matches were held in the Stadium. The spectators were admitted to different stands according to different denomination tickets. The subject matter of controversy in this proceedings is tickets of Rs. 25/- and Rs. 49/- sold to KSCA as no tax is charged on such tickets. These tickets of Rs. 25/- and Rs. 49/- were pre-stamped by the Entertainment Tax Officer on depositing the requisite security amount. 3. The Deputy Commissioner of Commercial Taxes (Enforcement)-I, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d counsel appearing for the assessee submits that, when once a particular amount is mentioned on the tickets and they are pre-stamped by the authorities, it is not open to the authorities to turn round and contend that the value of the tickets is Rs. 25/- and Rs. 49/-, they are in fact, really worth at Rs. 1,650/- and tax has to be levied on that basis. There is no legal basis for such levy of tax since Section 3 is a charging provision and do not support such levy. 6. In the light of the aforesaid facts and rival contentions, the following questions of law were raised: (a) In the facts and in the circumstances of the case, whether the Tribunal was justified in deleting levy of tax on the tickets of Rs. 25/- and Rs. 49/-, where the facili ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ll be levied in the case of admission to a circus. [ or drama ] or magic show or game or sport, where it involves no participation:] [Provided further that admission to a game or sport involving proprietary teams, that is played for prize moneys and organized on commercial basis shall not be exempted from tax under the first proviso.] (2) Notwithstanding anything contained in sub-section (1), [and sub-section (1-A)] there shall be levied and paid to the State Government (except as otherwise expressly provided in this Act) on every complimentary ticket issued by the proprietor of an entertainment, the entertainments tax at the appropriate rate specified in sub-section (1) [and sub-section (1-A)] in respect of such entertainment, as if full ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ther or not having different classes of seat or accommodation inside the place of entertainment is wholly on payment as defined in sub-clause (iv-a) of clause (i) of Section 2, the payment made to such entertainment shall be deemed to have been made by the person or persons admitted.] 8. Section 3(1-A) provides for payment for admission excluding the amount of tax to such entertainment, entertainments tax at the rate of ten per cent, if such payment for admission, excluding the amount of tax is less than Rs. 50/-, no tax is leviable under Section 3. However, sub-Section (2) of Section 3 makes it clear that every complimentary ticket issued by the Proprietor of an entertainment, even if no amount is received by the holder of such ticket, th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... uests and members of the association as the case of the assessee do not fall within Section 3 even if the intention of the assessee is to avoid payment of tax. Looking at the statute and charging provision, if the assessee arranges his affairs in such a manner so as to attract no tax, no fault would be found with the assessee. In fact, after this order, it is submitted that in order to avoid such consequences in future, the assessee has given up giving complimentary tickets to the members and VVIPs printing at the rate of Rs. 25/- and Rs. 49/- and they are printed at actual prices and paying taxes for the subsequent years. Therefore, it cannot be said that there is any intention much less the malafide intention for avoiding payment of tax. ..... X X X X Extracts X X X X X X X X Extracts X X X X
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