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TMI Blog2020 (2) TMI 860X X X X Extracts X X X X X X X X Extracts X X X X ..... ent of park and there onwards, is at rate of 7.5%." 2. The writ petitioners own and run an amusement park within limits of Greater Bombay which was opened to the public for admission on 25th December, 1989. They charged a lumpsum amount for admission and entertainment to the amusement park. In terms of the Act, the writ petitioners were required to pay entertainment duty. 3. In the writ petition before the High Court, the assertion of the writ petitioners was that on 4th October, 1994, it sought confirmation that entertainment tax to be levied would be 3.75% of the value of a consolidated ticket. Such stand was accepted by appellant No. 2- The Collector, Bombay Suburban District. Later, vide communication dated 7th January, 1995, the writ petitioners were informed that they would be required to pay duty @7.5% and not @3.75%. The writ petitioners challenged such demand by way of writ petition. The said writ petition was withdrawn with liberty to file a fresh petition. 4. The State sought to recover the entertainment duty @7.5% in respect of entry to the amusement park for the period from 16th September, 1994 to 24th December, 1994 and @15% from 25th December, 1994. The writ pe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , namely:- (a) xx xx xx (b) In the case of every entertainment, [other than exhibition by cinematograph including video exhibition [video games and exhibition by means of any type of antenna or cable television] Provided that, in the case of the cabaret entertainment, fifty per cent of the total payment charged by the proprietor per person per show, whether with or without eatables or beverages and whether regular tickets are issued or not, for admission to such entertainment, shall be deemed to be the payment for admission and duty shall be levied thereon accordingly under this clause: Provided further that, the entertainment duty in respect of an amusement park shall be 15 per cent of the payment made for admission to the amusement park, including payment made for admission for games and rides, whether charges separately or not" 3(2) Where the payment for admission to an entertainment is made by means of a lump sum paid as a subscription or contribution to any society, or for a season ticket or for the right of admission to a series of entertainments or to any entertainment during a certain period of time, or for any privilege, right, facility or thing combined wit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tion (2) of section 3 of the Act. 9. The learned counsel for the writ petitioners argued that upon a collective reading of the definition of "amusement park" (which means a place where various types of entertainment are provided on a permanent basis on payment for admission) and Section 3(2) which provides that upon payment of admission to entertainment by means of a lump sum amount for the right to admission to a series of entertainments, the entertainment duty would be charged @ 50% of the rates mentioned in Section 3(1)(b). Thus, in the case where the amusement park charges a lump sum amount as a right to admission for all the rides and games available in the said amusement park, then, Section 3(2) will be applicable and the entertainment duty payable by the amusement park would be half of what is provided in Section 3(1)(b) being 15% i.e. 7.5%. 10. It is also argued that the proviso to Section 3(1)(b) ends with the phrase "including payments made for admissions for games and rides, whether charged separately or not". Thus, 15% entertainment tax was payable by the amusement park where it charged an amount for mere admission and the charges for the games and rides being separ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n period of time, depends upon the decision of the State Government and/or Municipal Corporation to grant that relaxation to enable the writ petitioners or such other amusement park owners to charge duty at a lesser rate. 16. The prime argument turns around in respect of category (c) as delineated above i.e. for admission to a series of entertainment. The argument of the learned counsel for the writ petitioners is that when a ticket is issued by them, it is a ticket for admission to series of entertainment. We do not find any merit in the said argument. The amusement park is defined under Section 2(a-1) of the Act to mean a place wherein various types of amusements including games or rides or both are provided fairly, on a permanent basis, on payment for admission. The payment for admission is defined under Section 2(b) of the Act as the payment made by a person having admitted to one part of a place of entertainment and subsequently admitted to another part. Section 2(d) of the Act deals with admission to an entertainment which includes admission to any place in which the entertainment is held. 17. The argument that when a lumpsum amount is paid as a right of admission for all ..... X X X X Extracts X X X X X X X X Extracts X X X X
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