The Gujarat Entertainments Tax Act, 1977

Short title, extent and commencement.—

1. (1) This Act may be called the Gujarat Entertainments Tax Act, 1977.
2. (2) It extends to the whole of the State of Gujarat.
3. (3) It shall come into force on such date as the State Government may, by notification in the Official Gazette, appoint.

Definitions.—In this Act, unless the context otherwise requires,—

1. (a) "admission to an entertainment" includes admission to any place in which the entertainment is held;
2. (b) "complimentary ticket" means a ticket or pass for admission to an entertainment free of any payment or at a reduced rate for any purpose;
3. (c) "entertainment" includes any exhibition, performance, amusement, game or sport to which persons are admitted for payment;
4. (d) "local area" means the area within the jurisdiction of a local authority;
5. (e) "payment for admission" includes—
   • (i) any payment made by a person by way of contribution or subscription or any other name by whatever called, for admission to an entertainment;
   • (ii) any payment, whether for food or drink or otherwise, for admission to any place where entertainment is provided;
   • (iii) any payment for a seat or other accommodation in any place of entertainment;
   • (iv) a payment for a programme or synopsis of an entertainment;
   • (v) any payment made for the use of any amenity in connection with an entertainment;
6. (f) "proprietor", in relation to any entertainment, includes any person—
   • (i) connected with the organisation of the entertainment, or
   • (ii) charged with the work of admission to the entertainment, or
   • (iii) responsible for, or for the time being in charge of, the management of the entertainment;
7. (g) "tax" means the entertainments tax levied under this Act.

Tax on payment for admission to entertainments.-

1. (1) There shall be levied and paid to the State Government a tax on all payments for admission to any entertainment (hereinafter referred to as the "entertainments tax") at such rate not exceeding one hundred per centum of such payment as the State Government may, by notification in the Official Gazette, specify in this behalf, and such tax shall be collected by the proprietor and paid to the State Government in the manner prescribed: Provided that 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, club or other association, or as a season ticket or for the right of admission to a series of entertainments or to any entertainment operated otherwise than for profit, the entertainments tax shall be paid on the amount of such lump sum, but where the State Government is of the opinion that the payment for admission to an entertainment or class of entertainments is not such as to be properly comparable with the ordinary charges for admission, the entertainments tax shall be paid on such amount as the State Government may fix in this behalf.
2. (2) Notwithstanding anything contained in sub-section (1), there shall be levied and paid to the State Government an entertainments tax on all payments for admission to any entertainment in the form of cinematograph exhibition at such rate as may be specified by the State Government by notification in the Official Gazette, which may extend to one hundred per centum of such payment.

Admission to entertainment.-

1. (1) No person shall be admitted to any entertainment except with a ticket stamped with an impressed, embossed, engraved or adhesive stamp or, as the case may be, ticket roll issued by the State Government, denoting that the proper entertainments tax payable under section 3 has been paid: Provided that the State Government may, by general or special order, exempt any class of entertainment or any entertainment from the operation of this section.
2. (2) The State Government may, on the application of a proprietor of any entertainment in respect of which the entertainments tax is payable under section 3, permit the proprietor to pay the amount of the tax due by means of a consolidated payment or in such other manner as may be prescribed, instead of by stamps.
3. (3) The provisions of sub-section
4. (1) shall not apply to an entertainment in respect of which the tax due is payable in accordance with the provisions of sub-section (2).

Complimentary tickets.

1. (1) Notwithstanding anything contained in this Act, there shall be levied and paid to the State Government on every complimentary ticket for admission to an entertainment, a tax at the rate of rupees two.
2. (2) Every proprietor shall submit to the prescribed authority a return in the prescribed form within seven days from the date of the entertainment, in respect of the complimentary tickets issued by him for such entertainment.
3. (3) The tax payable under sub-section
4. (1) shall be paid by the proprietor within such time and in such manner as may be prescribed.

Method of levy.

1. (1) Save as otherwise provided by this Act, no person shall be admitted to any entertainment to which the provisions of this Act apply, except with a ticket stamped with an impressed, embossed, engrved or adhesive stamp (not before used) denoting that the proper entertainment tax payable under section 3 has been paid.
2. (2) The State Government may, on the application of a proprietor of any entertainment in respect of which the entertainment tax is payable under section 3, permit the proprietor on such conditions as the State Government may think fit to impose, to pay the amount of the tax due:
   • (a) by a consolidated payment of such amount as the State Government may, regard being had to the nature of the entertainment, fix; or
   • (b) in accordance with returns of the payments for admission to the entertainment and in such manner as may be prescribed; or
   • (c) in accordance with the result of the stamping of tickets for admission by means of a mechanical contrivance constructed for the purpose and approved by the State Government.
3. (3) The provisions of sub-section
4. (1) shall not apply to any entertainment in respect of which the tax is payable in accordance with the provisions of sub-section (2).

Entertainments not to be sold without license.

1. (1) No proprietor shall advertise, hold or give an entertainment in respect of which tax is payable under section 3 without being in possession of a valid license issued in this behalf by the prescribed authority.
2. (2) Every license granted under sub-section
3. (1) shall be subject to such conditions and restrictions as may be prescribed.
4. (3) A license granted under this section shall be valid for such period as may be prescribed and may be renewed from time to time.

Security for tax.

Tax to be paid to State Government Tax to be paid to State Government

1. (1) Every tax imposed under section 6 shall be paid by the proprietor in such manner and at such times as may be prescribed.
2. (2) If the tax is not paid in the manner and within the time prescribed, it shall be deemed to be an arrear of land revenue and shall be recoverable as such.

Return and payment of tax

1. (1) Every proprietor shall submit to such authority, in such form, and within such time, as may be prescribed, a return showing the amount of payments for admission received by him and the amount of tax collected and paid by him.
2. (2) Every such return shall be verified in the prescribed manner.
3. (3) The proprietor shall, along with the return, pay into the Government treasury the full amount of tax due according to the return.

Assessment of tax Assessment of tax.—

1. (1) If the prescribed officer is satisfied that the returns submitted by a proprietor are correct and complete, he shall assess the amount of tax due on the basis of such returns.
2. (2) If the prescribed officer is not satisfied that the returns submitted by a proprietor are correct and complete and he thinks it necessary to require the presence of the proprietor or the production of further evidence, he shall serve on such proprietor in the prescribed manner a notice requiring him, on a date and at a place specified therein, either to attend and produce or cause to be produced all evidence on which such proprietor relies or to produce such evidence as is specified in the notice.
3. (3) On the day specified in the notice or as soon afterwards as may be, the prescribed officer shall, after hearing such evidence as the proprietor may produce and such other evidence as the prescribed officer may require on specified points, assess the amount of the tax due from the proprietor.
4. (4) If a proprietor fails to submit the returns or fails to comply with all the terms of a notice issued under sub-section (2), the prescribed officer shall assess to the best of his judgment the amount of the tax due from the proprietor.
5. (5) If a proprietor fails to pay the amount of tax due under this Act within the prescribed time, the prescribed officer may assess the amount of tax due from the proprietor after giving him an opportunity of being heard.

Power to inspect.—

1. (1) Any officer authorised by the State Government or by the prescribed authority in this behalf may enter, inspect and search any place for the time being used, or suspected to be used, for an entertainment or kept or suspected to be kept for admission to an entertainment, and may require any proprietor to produce for inspection his books of account or other documents maintained or required to be maintained by him under this Act or rules made thereunder.
2. (2) If any such officer finds that the proprietor has failed to comply with any of the provisions of this Act or the rules made thereunder, he may seize such books of account or other documents as he may consider necessary and shall grant a receipt for the same.
3. (3) The proprietor shall, if so required, provide all reasonable facilities to the officer for the conduct of such inspection and search.

Penalty for failing to pay tax. If a proprietor fails to pay the tax within the time prescribed for such payment, he shall be liable to pay, in addition to the tax, a penalty at such rate as may be prescribed, not exceeding twenty-five per cent of the amount of the tax due.

Offences and penalties.

1. (1) If any person—
   • (a) admits any person to an entertainment in contravention of the provisions of section 4 or section 5; or
   • (b) fails to pay the tax due from him under the provisions of this Act; or
   • (c) fraudulently evades the payment of any tax due under this Act; or
   • (d) contravenes any of the provisions of this Act or of the rules made thereunder, for which no other penalty is provided in this Act; he shall, on conviction, be punished with fine which may extend to five hundred rupees.
2. (2) If any person is convicted of an offence under clause (a),
   • (b) or
   • (c) of sub-section (1), the court may, in addition to the fine imposed, order the payment by him of the amount of tax which should have been paid and the amount so ordered to be paid shall be recoverable as if it were a fine imposed by the court.

Power of revision.

1. (1) The State Government may, either suo motu or on an application made by an aggrieved person, call for and examine the record of any order passed or proceedings recorded by any officer subordinate to it under this Act, for the purpose of satisfying itself as to the legality or propriety of such order or as to the regularity of such proceedings and may pass such order in reference thereto as it thinks fit: Provided that no application under this sub-section shall be entertained if it is not made within a period of ninety days from the date of the order: Provided further that the State Government shall not revise any order under this sub-section where an appeal against the order is pending before an appellate authority or where the time for filing an appeal has not expired.
2. (2) No order shall be passed under this section which adversely affects any person unless such person has been given a reasonable opportunity of being heard.

Power to exempt. The State Government may, by notification in the Official Gazette, and subject to such conditions and restrictions as may be specified therein, exempt any entertainment or class of entertainments from the payment of the whole or any part of the entertainments tax.

Registration of proprietor.-(1) Every proprietor of an entertainment shall, within such time as may be prescribed, get himself registered in such manner as may be prescribed for the purpose of this Act.

1. (2) If a proprietor fails to get himself registered as aforesaid, he shall, without prejudice to any other action which may be taken against him under this Act, be liable to pay a penalty of such amount not exceeding five hundred rupees as the prescribed officer may determine after giving the proprietor a reasonable opportunity of being heard.

Power to make rules.-(1) The State Government may, by notification in the Official Gazette, make rules for carrying out the purposes of this Act.

1. (2) In particular and without prejudice to the generality of the foregoing power, such rules may provide for all or any of the following matters, namely:—
   • (a) the manner in which the entertainment tax shall be paid under section 4;
   • (b) the manner of submission of returns under sub-section
2. (2) of section 6;
   • (c) the period for which the accounts shall be maintained under section 16;
   • (d) the time within which and the manner in which a proprietor shall get himself registered under section 17;
   • (e) any other matter which is to be or may be prescribed under this Act.
3. (3) All rules made under this section shall be laid for not less than thirty days before the State Legislature as soon as may be after they are made and shall be subject to such modifications as the State Legislature may make during the session in which they are so laid or the session immediately following.

Repeal and saving.—

1. (1) On the commencement of this Act, the Bombay Entertainments Duty Act, 1923 (Bom. I of 1923) in its application to the State of Gujarat shall stand repealed.
2. (2) Notwithstanding such repeal, the provisions of the Bombay General Clauses Act, 1904 (Bom. I of 1904) with respect to repeals shall apply as if the Act mentioned in sub-section
3. (1) were a State Act.

(See section 19) Year No. Short title 1923 I The Bombay Entertainments Duty Act, 1923