K S ANANDA PROPRIETOR KUMARAVEL TOURING TALKIES VANNIPAKKAM VILLAGE PONNERI CHENGALPATTU DISTRICT Vs. DEPUTY COMMERCIAL TAX OFFICER PONNERI ASSESSMENT CIRCLE PONNERI CHENGALPATTU

JUDGEMENT

(1.) THE only point that arises for deep consideration in the instant case is, the interpretation of Sec. 4 together with Sec. 5 (B) (2)available in the Tamil Nadu Entertainments Tax Act, 1939 (hereinafter referred to as the Act ).

(2.) SEC. 4 of the Act reads as follows: "tax on Payment for Admission to Entertainments: (1) On each payment for admission to any entertainment, there shall be levied and paid to the (State) Government (except as otherwise expressly provided in this Act), a tax (hereinafter referred to as the entertainments tax) calculated at the following rates, namely: Rate of tax: Where such payment (inclusive of the amount of the tax)' (i) is not more than (thirty paise) One-fourth of such payment (ii) is more than (thirty paise) but is not more than (one rupee and One-third of paise fifty paise) such payment (iii) is more than (one rupee and fifty Two-fifths of (. . . . .) paise such payment Provided that in the case of cinematograph exhibitions, the tax shall be calculated at the rates specified above on each payment for admission, after excluding from such payment the amount of the tax; (. . . . .) (1-A) Notwithstanding anything contained in sub-SEC. (1)there shall be levied and paid to the State Government (except as otherwise expressly provided in this Act), on every taxable complimentary ticket, entertainments tax at the appropriate rate specified in sub-section (1) as if full payment had been made for admission to the entertainment according to the class of seat or accommodation which the holder of such taxable complimentary ticket is entitled to occupy or use; and for the purposes of this Act, and the tamil Nadu Local Authorities Finance Act, 1961 (Tamil Nadu Act 52 of 1961), the holder of such taxable complimentary ticket shall be deemed to have been admitted on payment ). (2) In the determination of the amount of tax payable on each payment for admission under sub-SEC. (1) (or under sub-sec. (l-A) (fraction of a (. . . .) paisa less than half a (. . . .) paisa shall be disregarded and fractions of a (. . . .) paisa equal to or exceeding half a (. . . .) paisa shall be regarded as one (. . . .) paisa)".

(3.) THEREFORE, the writ petition has to be allowed and is hereby allowed. Under the circumstances, there is no order as to costs.