A STUDY OF IMPACT OF GST ON MEDIA AND

ENTERTZINMENT INDUSTRY.

A Project Submitted to
University of Mumbai for partial completion of the post graduation degree of
Masters in Commerce (Advanced Accountancy)
Under the Faculty of Commerce

BY
AGNEYA SANJIV THAKURDESAI
ROLL NO:- 9136

Under the Guidance of

DR.SHAIKH TAUFIQ KHALIL

D.G. RUPAREL COLLEGE OF ARTS, SCIENCE & COMMERCE,

MAHIM , MUMBAI 400016
JANUARY 2023

1
 CERTIFICATE

This is to certify that MR. AGNEYA SANJIV THAKURDESAI has worked and duly completed
His Project Work for the degree of Masters in Commerce (Advanced Accountancy) under the Faculty
of Commerce and his project is entitled “A STUDY OF IMPACT OF GST ON MEDIA AND
ENTERTZINMENT INDUSTRY.” under my supervision. I further certify that the entire work has
been done by the learner under my guidance and that no part of It has been submitted previously for
any Post Graduation Degree or Diploma of any University. It is her own work and facts reported by
her personal findings and investigations

______________________ _____________________

Co-Ordinator Guiding Teacher

______________________ _______________________

External Examiner Internal Examiner

______________________ ________________________

Principal College seal

Date of submission :

2
 DECLARATION

I undersigned MR. AGNEYA SANJIV THAKURDESAI hereby, declare that the work embodied
in this project work titled “A STUDY OF IMPACT OF GST ON MEDIA AND
ENTERTZINMENT INDUSTRY.” forms my own contribution to the research work carried out
under the guidance of DR.SHAIKH TAUFIQ KHALIL is a result of my own research work and has not
been ever submitted to any other University for any other Post Graduation Degree/Diploma to neither this
not any other University. Wherever reference has been made to previous works of others, it has been clearly
indicated as such and included in bibliography. I, here by further declare that all the information of this
document has been obtained and presented in accordance with academic rules and ethical conduct.

________________________
AGNEYA SANJIV THAKURDESAI
ROLL NO 9136

3
 Acknowledgment

To list who all have helped me in difficult because they are so numerous and the depth is enormous.
I would like to acknowledge the following as being idealistic channels and fresh dimensions in the
completion of this project.
I take this opportunity to thanks the University of Mumbai for giving me chance to do this project.
I would like to thank my Principal, Dr.Dilip Maske for providing the necessary facilities required
for completion of this project.
I take this opportunity to thank our coordinator Dr. Ravindra Netawate for the moral support and
guidance. I would also like to express my sincere gratitude towards my project guide and mentor
DR.SHAIKH TAUFIQ KHALIL whose guidance and care made the project successful.
I would like to thank my College Library, for having provided me with various reference books
and magazines related to my project.
Lastly, I would like to thank each and every person who directly or indirectly helped me in the
completion of the project especially my parents and peers who supported me throughout my project.

4
 PREFACE

It was a pleasurable experience for me to work on this project report- “A STUDY

OF IMPACT OF GST ON MEDIA AND ENTERTZINMENT INDUSTRY.”
It has not only helped me to enhance my knowledge about various strategies
followed by the company but also reviewed my knowledge. In this project report every
possible effort has been made to highlight the major aspects related to the topic
by a comprehensive study of literature and by secondary information.

To make it easier different tabular and diagrammatic approach has

been used which help in understanding the theme. It gives brands, a market image as
well as depicts phase of their life cycle to understand the company value in a better
way. Secondary data is an important document and contains information that can be
used to find out what are the findings of the research.
I have tried my best to explore the truth in my project reality regarding the
ratio analysis and understanding practical way of working.

5
 INDEX
Sr. Sub Page
No. Sr. CONTENTS
No.
1. Introduction
1.1 Introduction 8
1.2 GST and the world: a worldwide situation 9

1.3 Overview of GST 11

1.4 Overview of media and entertainment industry 12
1.5 GST on various sector of media and entertainment 15
1.6 Types of GST 18
1.7 Features of GST 19
1.8 Benefits of GST 20
1.9 Objective of GST 21
1.10 Advantage of GST 25
1.11 Disadvantage of GST 29
1.12 Difficulties in GST implementation 35
1.13 Challenges in GST 36
1.14 Limitation in GST 37
1.15 Significance of study 40
1.16 Objectives of study 40
1.17 Hypothesis 40
2 Literature review 41

6
 2.1 Meaning of literature review 41
2.2 Literature review of research paper 41
2.3 Conclusion 54
3 Research methodology 55
3.1 Introduction 55
3.2 Research approach and design 55
3.3 Statement of problem 55
3.4 Population and sample 56
3.5 Research gap 56
3.6 Data collection 57
3.7 Limitations 58
4 Research design and analysis 61
4.1 Primary data 61
4.2 Secondary data 81
5 Finding suggestion conclusion 88
5.1 Finding 88
5.2 Suggestion 91
5.3 Conclusion 93
6 Bibliography 94
Research Questionnaire 94

7
 INTRODUCTION
1.1 Introduction

Since old times, charges have been a piece of the living. We cannot envision people
living without charges. We face a daily reality such that we need to pay charges instead
of something as the assessments assume a significant part in the income assortment to
the public authority. There are mostly 2 sorts of tax assessment frameworks in India, one
is Direct Taxation and another one is Indirect Taxation. The Media and Entertainment
industry is covered under the head of Entertainment Tax in the Service Tax system before
2017. The Indirect Taxation regulation covered film under the extravagance assessment
and put it under the most elevated rate section 28%. In this article, we will examine the
parts of Indirect Taxation i.e., Goods and Services Tax on the Media and Entertainment
Industry. There are two kinds of expenses collected by the Indian government-direct
assessment and circuitous duty. Direct duty incorporates personal assessment, which is
exacted by local thee government on people, organizations, and collection of people.
Another duty is a backhanded expense, which is required for the production of
merchandise, arrangement of administrations, and utilization. The focal government
demands charges for assembling labor and products while the state government demands
utilization. So strategically, India is one nation, yet monetarily, it is divided (Shankaran,
2016). Many sorts of aberrant expenses like diversion charge, esteem added charge,
extract obligations, import obligations, extravagance charge, focal deals charge, and
administration charge are likewise exacted in India. For instance, for assembling focal
government exacts an aberrant assessment at the plant door known as focal extract then,
at that point, the state government will charge esteem added charge at the hour utilization
then of cost duty previously paid. Essentially, on the exchange of merchandise starting
with one sand state then onto the next state, focal, as well as extract charge, the charge is
charged So a monetary change was taken by presenting GST on the first July 2017 to
bring together India into one normal market.

8
1.2 GST and the world: a worldwide situation
India has the most elevated GST rate on the planet. The most extreme GST rate chunk
of 28% presented by India is the most elevated am more than 160 nations across the
world that have executed GST. Argentina has the second- most elevated GST pace of
27%, though the rate remains at 20% in the UK, 20% in France, and 7% in Singapore.
To limit tax avoidance and fur stop the falling impact of tax avoidance on the economy
north of 160 nations across the globe had embraced the Goods and Services Tax system.

France was the essential country to take on this single assessment framework in 1954
and followed by Germany, Italy, Japan, South Korea. GST is one of the top drives taken
by most nations for an organized and created economy. India required a long time to
execution of GST than different nations on the planet lastly in the year 2017 India
likewise took on the GST value-added added charge exacted on basically labor and
products given or offered to homegrown or family utilization is called Goods and
Service Tax. GST gives income or pays to the public authority in the development
strategy of the economy. The part of GST that is gathered or gathered from the
customers by the business or dealer of the merchandise, is sent to the public authority.
In certain nations, Goods and Service Tax is likewise recognized as Value Added Tax.

GST in different nations

GST in Canada: GST is currently one of the significant wellsprings of income for the
Canadian government. Regardless of gigantic resistance from both the political
opponents and the general population, the Conservative prevailing House of Commons
around 25 years prior had passed the GST bill. In the monetary year 2013-14, the
aggregate sum of incomes comprises 1.6 percent of the complete total national output
(GDP). The sum is projected to have a consistent expansion in the approaching year.
The tax collection system of Canada is chiefly completed under the 3 plans for example
Government GST, Joint administrative, and separate bureaucratic. Government charge
is a by and large acknowledged charge framework while joint administrative sudden
spikes in demand for the premise of the synchronized way of behaving of the economy

9
and states and the last one is discrete bureaucratic which just applies to Quebec as it is
considered as a semi-autonomous territory. The essential GST rate is 5% on the
provisions of labor and products and in certain districts, a 15% deals charge is
additionally forced. From 1991, a Multi-level VAT structure was upheld on provisions
of labor and products bought in Canada. There are no such exclusions on labor and
products from the ambit of GST, a couple of endorsed food, private lease, and clinical
benefits.
GST in Singapore: The presentation of GST is viewed as a way to bring down private
and corporate personal expense rates while keeping a consistent income base for the
public authority. GST in Singapore was presented in 1994 as a roundabout duty as it
charges consumption. By and by GST is charged at the pace of 7%. The GST Act is a
demonstration thin e UK VAT regulation and New Zealand GST regulation. The power
which gathers, controls, evaluates, and upholds the installment of GST is recognized as
The Inland Revenue Authority of Singapore (IRAS) which works as a specialist of the
Singapore Government.
GST in Australia: GST in Australia is gathered by the Supreme Authority as it is a
government charge anafterto storing up the assessment it is additionally split between
the states with no debates. The GST was presented in 2000 with an expense pace of Rs
10% keeping up with the consistency in the rates to date.
Australia's GST is by and large viewed as one of the more effective kinds of duties.
After the execution of GST, there be end off wasteful expense at the state level that
blocks work versatility and considers decreases in government individual personal
duties that would energize expansions in labor supply and saving. Global associations
like the International Monetary Fund (IMF) have perceived the ramifications of these
productivity distinctions, proposing in 2010 that they would "welcome more
dependence on utilization-based charges in Australia. There are sure items and
administrations which are absolved from GST. Most fundamental food sources, some
training courses, and a few clinical, wellbeing, and care items and administrations are
without GST, regularly alluded to as excluded from GST.The idea of riving GST was
presented by a French assessment official during the 1950s. In certain nations, it is
known as VAT or Value-Added Tax. Today, in excess over entries, including the

10
European Union and Asian nations, for example, Sri Lanka, Singapore, and China
practice this type of tax assessment.

1.3 Overview of GST in India

The Rajya Sabha consistently passed the constitution (22nd amendment) bill,2014, on
the third of August 2016 with 203 voting in favor. All parties aside from the AIDMK,
upheld the bill. GST would be a far-reaching circuitous duty on making utilization and
deals of products and administrations all through India, to supplant charges required by
focal government and state government GST would be imposed and gathered at each
phase of offer or acquisition of labor and products. Available labor and products are not
recognized from each other and are charged at a single rate in-store network till labor
and products arrive at The shopper. The simple section was worked with by the congress
after the Govt. Rolled out key improvements, including rejecting of 1 % producing charge
and joining clear arrangement for remunerating state for income misfortune for quite a
long time. Mr. Arun Jaitley guaranteed the house that the duty rates would be kept as
low as could be expected. As of today a, a fewer assessments are exacted by the state
government and some are demanded by the focal govt. Hotel and theatre at there is
just a single brought together

1
11
assessment rate rather than this multitude of expenses, GST applied on Goods and
services where genuine utilization happens. It depends on the objective principle. GST
would be demanded and gathered at each phase of n offeror b of merchandise and
services Goods and administrations are not recognized and are charged at a single rate.
The production of distribution on material the pertinent GST rate yet will guarantee
back through tax break system Ma managerial obligation would be by and large rest
with single position to purchase charge on merchandise and services current system is
are charged at different places by various specialists, for instance, at the polict look at
focuses, by state government and vendors. This empowers defilement that a typical
cross counter charges supposed to take out. It is accepted that it would make the
assessment system all the more fair, straightforward, and efficient. The current duty
structure doesn't permit finance manager to assume charge acknowledgment here many
many possibilities covering or multiplying tax collection at each progression is will be
killed with the execution of GST. Indian govt. is choosing double arrangement off GST
This framework will have two parts which be will kaisonians focal Goods and Service
Tax(CGST)State Goods and Service Tax(SGST)

1.4 Overview of Media industry in India

The Indian Media and Entertainment (M&E) industry is a dawn area for the economy
and is taking high development steps. Demonstrating its strength to the world, the
Indian M&E industry is on the cusp of a solid period of development, supported by
rising customer interest and further developing publicizing incomes. India is one of the
greatest spending and quickest developing publicity market sarket around the world.
The business has been to a great extent driven by expanding digitalization and higher
web use in the course of the last ten y The website has nearly turned into an established
press for amusement for the majority of individuals. While the development track is
noteworthy, various difficulties are presented by the business. The execution of GST
imps on the area and its verticals like telecom, print.
The Indian Media and media outlet is a dawn area with a quick development bend. In
2015, the business developed at 11.76% with market size of USD 19

1
12
billion (INR 1,281 billion 1). In general, the business is supposed to develop by 13.98%
tby2018. By 2025, the business is supposed to accomplish a market size of USD 100
billion (INR 6,743 billion). India is all around the second biggest media and diversion
market.
The pace of Entertainment TAX before the presentation of GST changed from one state
to another, beginning from 15% to 110% contingent on the ad administration area, type,
and different advantages. Various VAT + administration charge was incorporated
inside the th diversion on rel administrations ones. The VAT and ffix charges ge were
charged at 14.5% and 15% individually. the speed difference was settled after the
execution of GST and presently gives a reliable mark across Oss country, which
forestalls Before GST, the diversion charge was collected by states and the rates range
from 0 to every available ounce of effort, with a normal of 30% Entertainmentt duty
falls in List 2 of the Seventh Schedule of the Constitution of India and is only saved as
an income hotspot for the state legislatures. All things considered, before India procured
freedom, the British government forced weighty expenses on the occasions of
diversions and amusement, where a huge get- together of Indians might have caused
insubordination or mutiny . ft er autonomy, old authorizations proceeded and there has
been no amendment or nullification of these demonstrations.
This wellspring of income has developed with the appearance of TV administrations in
India. Since, diversion is being offer through huge types of assistance like telecom
administrations, DTH Services, Pay TV Services, link administrations, and so on. The
part of dive the version is naturally interlaced in the exchange of administration, that it
can't be isolated from the entire exchange. Given the idea of exchange of administration,
it is being exposed to the burden by the Union and the state.
The monetary guideline basic article 246 of the constitution of India isolates the
wellsprings of tax assessment for the Union and the States are keeps up with the
restrictiveness. This article additionally gives that if there should arise an occurrence of
contention between the powers of Union and the Stat State, the Union ability Union
’burden will override the force of the State to demand charge on the available occasion
or comparable to the subject or object of tax collect The diversion charge structure in
India changes across states and is the most

1
13
noteworthy in Uttar Pradesh at 60%. In diversion charge was decreased by five percent
in 2005 and presently remains at 45%. There is no assessment for Marathi films in
Maharashtra, and in Tamil Nadu, assuming they have a Tamil title and a U
authentication from the Censor Board. Flopping any of these, films are forced a 15%
assessment. Mediwire lessts was India is confronting the test of twofold tax collection
on such exchanges.

The critical difficulties according to an assessment viewpoint looked a by the business

were compelling rate, suggestions for cross-line exchanges, overseeing charge
gamblescashsh bloblockage because high saved portion r,a te ,and numerous circuitous
expenses. Many info charges paid in numerous exchanges were viewed as
expecostscosand t thus not accessible as credit. Indeed, even double expenses were
required for numerous activities because othe government stst design of duty structure.

Under the GST regulation n, media and diversion administrations industry is parted into
18% and 28% rate pieces individually. The 18% GST Rate Slab incorporates TV and
DTH administrations, theater, carnival, and exemplary dance occasions. The 28% GST
Rate Slab is for the two firms in film corridors like film tickets, gambling clubs, fun
fairs fair, film celebrations, hustling, like wise occasion The film

Telefilms for some time been inseparable from the M&E area in India The out esteem
chain inside the business, and duty might be an exchange charge that impacts the
business at each stage. With the appearance of GST, things are supposed to turn out to
be somewhat easier for the entertainment biz since it would be dependent upon only
one expense and admissible nearby body charges. The GST regulation groups
admittance to film as an extravagance and puts it under the absolute best pace of 28%.
Given the financial improvements all over the planet, the film could not exactly be an
extravagance, at least in metro urban areas.

One of principalship changes have been the subsuming of Entertainment Tax under
GST. Before GST, the speed of the retainment Tax for the film business

1
14
shifted from one state to another, beginning from 15% to every available ounce of effort.
The presentation of GST has settled the speed fluctuation and gives a steady market
across the state. A GST of 18% is demanded on film tickets up to 100 INR, and 28%
on film tickets costing very 100 INR. The uniform rate across the state forestalls
exchange. Further, the expenses of DTH and link administrations diminished after the
execution of GST. Nonetheless, games like IPL draw in a 28% GST demand, which
makes them expensive.

The key sub-areas of the Media and Entertainment industry are Television, Print, Films,
Sports, Music, Radio, Digital Advertising, Out of home publicizing, Animation, VFX
and Gaming.TV, print, and movies are the three biggest sub- areas in India. Key
socioeconomics of the Indian Media and media outlet set are framed underneath . India
is the world second biggest TV market with 168 million TV families and 890 TV stations
roughly (counting 400 news and current issues channels around) India has the world's
biggest entertainment world as far as tickets sold.

1.5 GST on the various sectors in the media and media outlet

Show of Movies : The show of the film is the retail part of the entertainment world. It

1
15
includes the public screening of the motion pictures in theaters where the clients
paythath to watch films for their amusement reason.
On the Sale of tickets: Entertainment charge was demanded going from 15% to
110%On Sale of tickets: here we have two chunks beneath Rs 100 18% GST is pertinent
or more Rs. 100 28% GST is leviable
Food and Beverages at Theaters : Here the expense is collected under 2 heads: VAT
@20.5% (Assumed) and Service Tax @15% Here In GST 18%or, 12% is
required by the circumstances and refreshments are considered as café Services and
the assessment appropriateness relies upon the Air Condition Services on the off
chance that the Supply is done in AC premises, 18% is applied and in Non Ac
premises then 12% is demanded
Film Distribution : Copyright move for the presentation of motion pictures in Theatre:
twofold Tax is forced, VAT and Service Tax which making a weight on the producers.
Here move of copyrights is treated as the stock

1
16
administrations under GST and the pace of assessment is 12% Brand names, Copyrights
like Intellectual Property had been treated as merchandise and drawn in State VAT. Here
2 rate pieces are: move of (IP) freedoms in regard of Software rate is 18% and 12% rate
is leviable in regard of products other than data innovation programming
Administrations delivered by Artists and different professionals Taxability on Artist
administrations imposed @ 15% Service Tax on foforwardingharge basis under GST @
18% assessment rate is pertinent in the administrations delivered by the Artists
forwarding charge basis services delivered by creator, music writer, photographic artist,
craftsman or the like via move or allowing the utilization. 15% Service Tax is exacted
on the administrations by specialists like arrangers, photographic artist forwarding
Charge basis. Supply of administrations by a creator, music writer, photographic artist,
cameramen or the like via move or allowing the utilization of copyright draws in 18%
GST on switch charge premise (RCM)
Sponsorship and Brand Promotion: Earlier the tax rate on the sponsorship and brand
promotion was 15% not after implementation of GST its 18% Entertainment meccas:
State-explicit Entertainment chagoesoing from 15% to every available ounce of effort
(normal of 30%) No VAT or Service Tax GST at 18% After the development of the
relative multitude of various kinds of roundabout duties under the single head of GST,
there is a murmur of alleviation to the shoppers as the general weight of various little
expenses which was making a falling impact and was whenever borne
straightforwardly or by implication by the end under itself. Genera, llonlyhe states that
have weighty diversion charges are benefited yet a portion of the states additionally
persevere that have extremely low rates regardless of whether contrasted with the
GST, yet assuming we take a normal count, the execution of GST has helped the
whole business helping in development with expanded digitization at lower costs.
What are FCM and RCM : Forward Charge Mechanism (FCM) is an interaction where
the expense is charged in the Sale Invoice by the provider and the equivalent is gathered
from the buyer lastly stored to the public authority, this is otherwise called the basic
technique for this situation for the most part both the gatherings are enlisted. Invert
Charge Mechanism (RCM) is the interaction

1
17
wherein the instalment of expense is paid by the beneficiary. For this situation, for the
most part the provider of administration is an unregistered individual or the individual
is who is outside India which is naturally is out of the extent of GST, so for the
beneficiary of administration is obligated to pay GST to the public authority for their
benefit.

1.6 The type of GST

CGST full structure is Central Goods and Services Tax.
CGST alludes to the Central GST charge that is exacted by the Central Government of
India on transaction on of Good and services charge occurring inside a state. It is one of
the two assessments charged every intrastate (inside one state) exchange, the other one
being SGST (or UTGST for Union Territories). CGST replaces every one of the current
Central expenses including Service Tax, Central excise duty CST, Customs Duty, SAD,
and so forth The pace of CGST is normally equivalent to the SGST rate. Both taxes are
charged on the base cost of the item. See the model underneath to comprehend it better
. e.g In the model above, when Suresh deals an item to Pradeep in a similar state
(Rajasthan) ,has to make good on two charges. CGST is for the focal government while
SGST is for the state. Therate off GSTT is 9%, the same as SGST. After the use of CGST
(9% of Rs 10,000), the last expense of the item will become Rs 11,8SGST’sSGST full
structure is State Goods and Services Tax.
SGST - State Goods and Service Tax
(State GST) is one of the two charges required on each intrastate (inside one state)
exchange of good and services. The other one is CGST. SGST is required by the state
where the products are being sold/bought. It will supplant all the current state charges
including VAT, State Sales Tax, Entertainment Tax,Luxury Tax, Entry Tax, State
Cesses a,nd Surcharges on any sort of exchange including Goods and services The State
Government is the sole claimer of the income acquired under SGST. We should
understand also, this with an example .e .g. Suresh from Rajasthan needs to offer few
merchandise to Pradeep in Rajasthan. The product originally evaluated at Rs 10,000,
will draw in GST amount 18% rate contain eda ng 9% CGST rate and 9%SGST

1
18
rate. The SGST charge sum here is Rs 900 (9% of Rs 10,000) which is completely
rajasthan State Government. The pace of the item after SGST will be Rs
10,90IGST’sGST full structure is Integrated Goods and Services Tax.
Integrated Goods and Service Tax.
Incorporated GST (IGST) is material on highway (between two states) exchanges of
prod andservices vicess, as well as on imports. This assessment will be gathered by the
Centragovernment willll furtherurther be dispersed among the particular states. IGST
is charged when an item administrationoimoveded starting with one stand te then onto
the next. IGST is set up to guarantee that a state needs to manage the government and
not with each state independently to settle the highway charge sums. We should attempt
to comprehend IGST with an example Ramesh is a maker in Rajasthan who sold
merchandise worth Rs 10,000 to Suresh in Rajasthan. Since it is a highway exchange,
IGST will be material here. How about we accept the GST rate is 18% for the specific
thing. In this way, the IGST sum charged by the Central Government will be Rs 1800
(18% of Rs 10,000),
UTGST’s full structure is Union Territory Goods and Services Tax. The Union
Territory Goods and Services Tax, ordinarily alluded to as UTGST, is Applicable on the
Goods and sevices supply that happens in any of the five Union Territories of India,
including Andaman and Nicobar Islands, Dadra and Nagar Haveli, Chandigrh ,L
akshadweep and Dam ,an and Diu. This UTGST will be charged notwithstanding the
Central GST(CGST) made sense of above. For any exchange of
merchandise/administrations inside a Union Territory: CGST
+UTGST

1.7 Features of GST

1. SINGLE INDIRECT TAX
GST has been presented as a solitary brought-together duty change. It has killed many
existing aberranplacesce and state charges like Central Value Added Tax, Special
Additional Duty of Customs, Service Tax, and VAT and changed over them into a
solitary assessment. The end of these roundabout assessments has made charge
consistence simpler for organizations as well

1
19
as aided in making a significant number of the labor and products more reasonable for
the purchasers.

2. INPUT TAX CREDIT SYSTEM

One of the most noticeable GST highlights in India is the info tax break. Assuming that
a producer or specialist organization has previously papaid put charge on a buy, the
equivalent can be deducted from thall-out out yield charge responsibility. The
information and result solicitations need to match to exploit the tax break. ThaThaddeus
eliminating the falling duty impact or the customary 'chargon chargee' system. In
addition, it likewise helps in decreasing tax avoidance.

3. GST COMPOSITION SCHEME

SMEs with a yearly turnover of up to Rs. 1 crore or Rs. 75 lakhs in determined states
can likewise willfully select the creation coto nsinspireWith this plan, the organizations
can pay a proper GST pace of 1% on their turnover. In any case, such organizations
would then not utilize the infocharge to be able to cbenefitsenefit. A business needs to
choose between whether they need to utilize the organization conspire or the
information tax break highlight.

4. FOUR-TIER TAX STRUCTURE

GST has a 4-level duty design of 5%, 12%, 18%, and 28%. Every one of the labor and
products must be burdened according to this assessment structure. A large number of
the fundamental products, for example, food things have no GST. Further developed
straightforwardness and less expensive labor and products are two of the greatest
benefits of this 4-level construction.

There are a few GST elements, and they are as of now functioning as a distinct advantage
for the Indian economy. While it has far to go, enterprises, shoppers, and the public
authority hhaveproahavevely begun encountering the advantages which are supposed
to broaden further from now on.

1
20
1.8 Benefits of GST

1. To Business and industry With utilizatheonn of IT consconsistencyl be a lot more

straightforward as now they need to document one return rather than isolated returns of
every one of the expenses. It additionally helps inconsistency in charge rates and
construction the nation over.

2. To the state GST assists the state with getting higher income by effectively
controlling opspillagesAs GST is single and straightforward, in this way it helps in the
decrease of by and large taxation rate on the purchasers. It’s trIt’suilan easy to manage.

3. The enlistment interaction The course of enrollment under GST is easy to use. IInitia
lally they need to utiliapply aly structure for example REG-01, fill every one of the
vendors and append the necessary records. SAftertransferring a similan similartion will
be created in The EG-02 Form. Specialists either dismissed the application in REG-05
aafter bei offered the chance of being heard or pull out in REG-03 for extra data. Assess
can filAssessxtra data in REG-04 in the legitimate time which is nnoticedin the onotice.
On the off chance that the concerned authority is fulfilled, he can give the enrollment
testament in structure REG-06.

4. The return interaction The citizen should fill the GSTR-01 structure in the event of
Sales Register at the latest tenth day of the month. On account Purchase ,he will fill
GSTR-02 at the very latest fifteenth day of the month. After that month Return will be
accessible for example GSTR-03 at the latest twentieth day of the month. While the
GSTR-09 for a yearly return which will be documented latest 31st December toward the
finish of the F. Y.

1
21
1.9 Objective of GST
It makes a typical market in India with a uniform tax assessment framework and check
tax in the country. The regulations for GST are undeniably more tough contrasted with
the past aberrant assessment regulations. The point is to have across country framework
under GST, making it simpler to get defaulters and duty dodgers.

It eliminates the falling impact of the circuitous charges on a solitary exchange. It

additionally permits the setting off earlier charges that are connected with similar
exchanges as the information tax reduction. Under GST, the duty is relevant just to the
net worth added during each phase of the store network.
The public authority plans to lessen the requirement for a very long time under the past
tax assessment framework by presenting a merged duty like GST. The thought is to assist
organizations with a simple duty recording system that will work on their productivity
and cut down the general expenses related to business processes.
It assists with subsuming most circuitous charges into a solitary tax assessment
framework that diminishes the weight of consistence for citizens and facilitates the
public authority's expense organization process. The fundamental point of this tax
assessment framework is to improve on the whole course of making good on charges
and work the Contrasted with the recent roundabout charges, practically the entire GST
process, including enlistment, returns recording, and e-way bill age, has moved to the
the inter mode.
One of the essential targets of GST is to enlarge the assessment base in India. The vast
majority of the recent roundabout expenses had their edge limits for enlistment given
the turnover of a business. Under GST, there is more the noteworthy degree for an
expansion in the qnumber offirms going under the expense enrollment net since it
remembers all exchanges connected with labor and products for the country.
TO ELIMINATE THE CASCADING EFFECT OF INDIRECT TAXES ON
SINGLE TRANSACTION : The fundamental goal of GST is to eliminate fathe
ltellingimpact of the assessments. Falling impact of dutmeansmeathe n toll of duty on
charge. GST would be imposed distinctly towards the net worth added segment and not
towards the whole part of significant worth ascitytizen would appreciate inan put tax
break.
TO SUBSUME ALL THE INDIRECT TAXES AT THE Center AND STATE
LEVEL: Notwithstanding scarcely any aberrant assessments, every one of the major
circuitous charges demanded by focal and legislatures haveeshas hase been subsumed
2
22
into GST. In this way, the citizen and provider need not make a fuss over paying various
roundabout charges under various regulations.

TO REDUCE THE TAX EVASION AND CORRUPTION: GST would tax

avoidance and decrease. In the arrangement of GST, there would be less opportunity to
guarantee bogus info tax break as it requires matching of solicitations among
beneficiary and the providers. Input tax break can be asserted provided that the duty has
been kept by the enrolled provider to the Government. Each receipt discoordination and
confirmation would be made to guarantee that expenses are appropriately paid to the
public authority.
TO INCREASE THE PRODUCTIVITY GST would help in expanding the venture’s
usefulness and proficiency. Under the past assessment system, there were numerous
limitations connecting with coordinated factors and unreasonable methodology in regards
guaranteed on the f information tax breaks There an was additionally duty of section charge
rage a couple State he es on passage of products into tthe ates. In GST the system, passage
charge has been subsumed number of minds State boundaries would likewise decrease
because of the expulsion of really take a look at posts. These variables would help in
increment of efficiency.TO INCREASE TAX COMPLIANCE : consistence under GST is
supposed to be more contrasted with the past duty system. As the number of duty regulate has
have been subsumed, the citizen would need to go along principally with GST regulation with
returns and enlistment required. There is a compelling reason need to document various returns
and get different enrolment for consistency.

TO INCREASE THE TAX TO GDP RATIO AND THE REVENUE SURPLUS :

GST would expand the duty to GDP proportion and it is normal to be around 11.9% by
2019-20. The more expense to GDP proportion, the more would be the duty assortments
and it demonstrates the situation with the better monetary arrangement of the country.
More expense compliance a and more extensive duty base would bring about higher
assessment income to the public authority and the goal of GST is to have an income
surplus the public authority.
TO BRING MORE PEOPLE UNDER THE TAX NET : GST helps in augmenting
assessment base and brings Hua ge number of individuals in the o charge net. the In
prior system, there were numerous exceptions and rules for enrollment for various
kinds of duties. Presently there is a solitary cutoff for turnover

2
23
beneath which enrollment wouldn't be needed. More citizens would be covered under
the duty net which eventually could bring about expanding the expense base and
assessment income for the public authority.
TO ACHIEVE THE POLICY OF ONE NATION ONE TAX
GST replaces numerous backhanded assessments which were existing in the past
system. There is a solitary and nonpartisan duty generally speaking so there wouldn't
be any distinctions in the assessment rates between one state to another state. Thusly,
GST regulation has accomplished the approach of one country one assessment.
TO PROVIDE A SEAMLESS CREDIT OF INPUT TAXES
Cross-sectional credit of info was not permitted before. Likewise, there were numerous
limitations and conditions . In GST, a lot less difficult standards have been laid to use
the cross-sectional credit of info charges. For instance, a broker who was before not
permitted to assume acknowledgment of administration charge paid on administrations
is permitted to assume praise on products as well as administrations. The consistent
arrangement of credit would guarantee that the assessments on provisions are paid to
the degree of significant worth increases and net responsibility and twofold levies on
them.

2
24
1.10 Advantage of GST

Rent of Film/TV content freedoms

Prior, in the old system of Indirect tax assessment there generally remained disarray on
account of rent of movie/TV content privileges. A clashing issue emerged, whether the
exchange of rent of film content will be considered as supply of products or supply of
administrations.
As in the old system, VAT will be appropriate on supply of merchandise and of
administrations Service charge was exacted so on account of the non-lucidity of the
example generally for the more secure side both VAT and Service Tax was
entertainment and weight of @21% (15% Service Tax and 6% VAT) in Maharashtra is
collected.
After the execution of GST, the inventory of rent of Film content privileges will be a
help and will draw in 12% GST Tax. Clarity on Lease of Film/TV content privileges
For the situation of a specific rent of film/TV content freedoms, there

2
25
was a discussion concerning whether the exchanges were that of an offer of
merchandise or offering types of assistance. On the off chance that the exchanges were
considered as an offer of merchandise, VAT would be relevant else, Service Tax would
have been pertinent by considering under the ambit of administration. Hence, the
exchanges set off tua rf battle between the two Acts. Subsequently, generally speaking,
the exchanges were made responsible for VAT as well as Service Tax, accordingly
expanding the weight of charges. In the territory of Maharashtra, such weight was at
21% (15% Service Tax and 6% VAT). Presently with the approach of GST, the
exchanges will be viewed as a stock of administrations, which will draw in a pace of
12% as pertinent to transitory or extremely durable exchange or license the utilization or
satisfaction in duplicate privileges. Amusement Tax Subsumed in GST Before the ST
system, the tickfors of movies weused to draw in Entertainment Tax in light of the State
regulations. Their waste-ooffoff accommodated the Entertainment Tax against Service
Tax or VAT paid by the merchant thus the tolls were aggregate. A definitive client used
to bear the weight of expenses. With the presentation of GST, the diversion charge
demanded by the State Government is subsume making ca occombined chargeate. Input
Tax credit for Distributors Fothe situation of film wholesalers, they wwillwant to take
advantage of Ithe TC of the GST paid by makers and likewise, the theater proprietors
will want to the ake ITC of GST paid by the merchants. The pace of duty payable
bydefinite definitiveivclients businessss, being 28% on the tickets bought, the ITC is
probably going to be completely retainedThe endnd of dduty doubledouble- dutynefit
of GST will be the end of double expense tolls of administration assessment and VAT
on different exchanges that happen.
Input Tax credit (ITC) for Distributors: Input Tax Credit is the re thrust and the
intriguing issue of conversation in the GST. Input Tax Credit helps in the smooth running
of the business. After the GST came into force the advantage of ITC will be guaranteed
by the Film Distributors which is paid by the makers and as per the chain, proceeds, for
example, the theater proprietors will guarantee ITC of the GST paid by the merchants
and so on
Single assessing authority: One of the schangescant change that organizations will find
in the GST system is that they need not need to manage numerous duty specialists. Like
in the prior charge system, an individual would need to

2
26
move toward different assessment specialists like Central Excise, VAT, Administration
Ta,x and so forth Different enrollments were expected to be taken under every one of
the regulations, returns were to be recorded and appraisals, requests and so on would
need to be confronted on numerous occasions othe same me deals again and again. In
GST, one of the intense advances taken the by government is pruning of expense
specialists to one significance in this way assesses will be either be with the Central
expense specialists or with the State charge specialists and not with both, this will
facilitate the whole expense evaluations and decrease difficulties that were confronted
before.
Increased certainty/ Reduced litigation: the Under prior backhanded charge system, the
primary justification behind charge suit was because of the absence of clearness in the
law that makes it helpless to numerous translations, Further, the presence of different
charges on a similar duty base pro the empted presence of clashing assessments from both
focus and state charge specialists the nation over which has a added to variety of cthe ase.
Unda Gthe ST system, as greater part of the aberrant expenses such as Excise, Service
Tax, Val,ue Added Tax (VAT) and so on are subsumed and as the duty bas the e of
GST system is kept exceptionally wmuch-prunedch pruned exclusion list,
subsequently, it will result into a solitary smoothed out tax assessment and diminish
cases at large.

Erosion of parallel economy: For certain intense changes like accommodation of

receipt wise data through electronic mode, decently lower charge rates, arrangement of
consistence appraisals being given to every one of the organizations, a cross country e-
way bill framework, Concept of auto-matching of merchant/clients solicitations and
consistent progression of information charges credit and so forth could prompt a large
number organizations willfully coming into the duty agreeable zone as opposed to going
on with theways alsoo, method for tax avoidance. The design of GST is to such an
extent that resistant and sloppy organizations would find it hard to make due while the
assessment consistent organizations will thrive. Under this plan of things, GST would
help in chopping down the equal economy to an extraordinary degree.

2
27
Reduced corruption n:Without precedent for the historical backdrop of a tax assessment
arrangement of this nation we have previously seen that scarcely any surveys needed to
offer an incentive to get enlistment GSTGST. Presently, tis his the enormous change
that we are promptly seeing which was simply impactor numerous Rous in the prior
charge system. Under the GST system, the connection with the expense specialists
would be limited to such an extent thathe t whole progression of interchanges would
hap electronically throughough the normal entryway which would naturally stem way
for diminished defilemeThe downslideslide o f prices:Right now, organizations couldn't
profitfrom the credits of diffduties paidespaid. For example, CST Paid was turning out
to be completely cost, Excise Duty and Service Tnot accessibleessa ible as credit to
brokers, VAT was not accea ssible as credit to Service suppliers andifferentnesses like
SBC and so forth were just adding to the expense for the organizations. With execution
of GST, every one of these falling charges would descend considerably and th this
manner costs ofmeof merchandiseinistrations ought to just slide downwards. Further,
charges as well as assuming that exchanges areare appropriatelyganized and the
advantage determined is appropriately passed on at each lelevelhen the coscosts ofbor
and products can additionally manage down.
The commonn national market throughout the cou ntry:GST acquires the nmarket
meaningeaning consequently prior each state charge regulation was unique and hts own
principles, charge rat es,systems, and so on prompting high extent of assessment
arranging and control practices to keep away from/decrease charges. Much of the time,
buying from between state and it was more to pay just 2% CSTgainful and sometimes
acquiring locally even at greater costs with nearby VAT wasmore gainfull which in the
end prompted high pointless buy arranging, for example, productioof terminalsls, stock
exchanges and so on This multitude of arranging instruments hfallenall on its foot in
the GST syand organizationstions can now design their buys simply foundthe ed on
value of the exctaxe and atax collection component wouldn't have an incredible impact
in acquisition choices generally.

Increase in employment opportunities:A fter execution of the new assessment system,

the conceivable outcomes of occupation extension in the Indian

2
28
economyhaves expanded as GST is promising opportunityty. It is discovered that the
requirement for gifted bookkeepers and assessment experts hexpanded considerablybly.
The procedural compliances in have has likewise given some free-lancers principle
wellspring of occupation. The execution of GST has expanded the positions in the prop
areas for example, vehicles, coordinated factoweb-basedased business, consultancy and
so on Further, the product business has putut vigorously in GST as the duty change
rotates around electronic approaches to getting things doneand thee business is
supposed to set out enormous work open doors in the GST time.

1.11 Disadvantage of GST :

Various enrollments Multiple enlistments likewise entangle the exchange of

administrations among workplaces of a similar organization. Model: Imagine an
organization settled in Mumbai delivers an advertisement that ENIL conveys across its
22 stations across India. In the pre-GST time, ENIL would have raised one bill from
Mumbai - the city where ENIL is settled. Notwithstanding, presently each station will
raise a bill on the Mumbai office, which, thus, will raise one on the client. This makes
something beyond procedural issues. On the off chance that the advertisement was
worth Rs 1 crore, how much was allocated to each station involved inward bookkeeping
before GST. Presently the expense specialists mighy address why Chennai or Delhi has
charged, say, just Rs 10 lakh. Regularly, allocating is done in viewgivensals of market
2
29
size, sway, play- out time and an entire host of factors that the taxman doesn't know about.
This might actually prt less suit. Power a gave to Municipality given Tax on diversion
and entertainment Under GST system, an auththeority isven to a
Panchayat/Municipality/Regional chamber/District committees to impose and gather
charges on diversion and entertainment. This has all the earmarks of being an indirect
access passage of diversion charge. At this point, such expenses are imposed distinctly in
a couple of States. Considering the way that the vast majority of the States are enthusiastic
about enlarging their assets to conceal their monetary shortage, a significant number of
the States are probably going to follow the suit. Assuming that occurs, the probable
additions, which the business might make by GST, will be effectively cleared out and
the business might battle under the significant weight of an expense. Such duty isn't
qualified for getting ganged to GST paid and that can turn into an extra toll. The State of
Tamil Nadu has exacted such assessment of 30% on film tickets, which brought about a
strike by the film wholesalers and the theater proprietors as the taxation rate becomes
heavier than previously. Dramatic freedoms of movies available under GST The
dramatic privileges of movies were not at risk for VAT or Service Tax. Presently with
GST setting off in, deal or rent of the relative multitude of privileges will draw in GST.
To that degree, the weight on the business will increment. The degree of credit will rely
upon the contributions of labor and products utilized by the makers and whether they are
being obtained from the enrolled vendor. Certain costs which establish a significant
component of cost for the creation of movies and TV content, for example, food,
refreshments, outside cooking, veemploymentemploy and so forth won't be qualified for
ITC because of explicit arrangements. Slip by of Cenvat Credit One more significant
issue ishat for a situatiofilmmakerm maker or a TV content maker, GST rate pertinent
for movies or TV content is 12%. The significant part of contribution to a film or a TV
sequential is administrations given by specialists, experts and different people and
different rentals paid which draw in 18% GST. So significant data sources are gotten
with 18% GST credit yet the result is charged at 12% GST rate. For a situation of many
movies, which don't fair well or couldn't be taken advantage of to the degree of a
breakeven level, Input Tax Credit of GST paid will remain unutilized ay must be
discounted. Also, for a situation of TV serials, which can't be sold at a profitable value,
ITC might remain unutilized. To that degree, the productivity of the business might get
hampered however a particular GST pace of 12% has been advised. High Taxes on
entertainment and diversion stops A significant reason for worry for different
entertainment and amusement parks is that the rate material to them has been told at 28%.
2
30
This rate is very solid and it likens to the rate appropriate to the administrations
presented by gambling club srace courseses and so on It may not be suitable to consider
the diversion parks, where for the most part a family goes for amusement; with
gambling clubs,racecoursess and so on Nonavailability Cenvat Credit The development
of component movies and TV serials involves going for late hours and at different areas.
It is a typical practice in the business to serve food and drinks

to staff and others present, give open air catering administrations at different shooting
areas and give a method of movement. These costs comprise the significant expense of
creation however GST paid on a similar won't be permitted as ITC. States not qualified
for award charge exclusion Status It has been an act of many States to give an exception
for territorial movies as well as movies spreading positive messages to Society to give
help of diversion charge or to give an exclusion for a period. This force of the State will
get canceled as GST will be required and the State will most likely be unable to alter to
give help to such movies. Invert Charge The converse charge component, as was
material in Service Tax, is additionally pertinent to GST. In such sa ituation, the
beneficiary of administration pays the duty rather than the provider. The extent othe f
opposite charge system has been extended in GST when contrasted with Service Tax.
GST should be paid by the enrolled individual consuming the labor and products. In
media outlets, a huge part of specialist organizations and even providers are little
providers or specialist organizations. Buys from them will draw in GST in hands of the
substance, who is enrolled and utilizing the products/administrations. Aside from
settling the dutyconsistencystence level will be significant because of the planning of
solicitations expected to be finished. It will undoubtedly expand the consistence cost as
well as the essential expense of info. As the beneficiaries of administrations need to take
products/administrations from providers in little areas, particularly when they go for
outside shooting, the consistence needs, as well as cost, may increment. Provider of
administrations by a creator, music writer, picture taker, craftsman or like via move or
allowing the utilization of pleasure in copyright covered understatement (a) of sub-area
(1) of segment 13 of the Copyright Act, 1957 have been presently made subject to invert
charge by Notification dated 28th June, 2017.

2
31
1. GST Portal issues: One of the significant changese that organizations will find in
thGST systemem is that they need not need to manage numerous duty specialists. Like
in the pricharge systemtem, an individual would need to move toward numerous duty
specialists like Central Excise, VA T,Administration ,Tax and so on Various
enrollments were expected to be taken under every one of the regulations,returns weree
to be documented and appraisals, requests and so forth would need to be confronted on
numerous occasions othe sameme deals again and again. In GST, one of the intense
advances takby governmentent is pruning of duty specialists to one significance along
these lines assessee will be eithebeen listeded with the Central assessment specialists
or with the State charge specialists and not with botthis willill facilitate the whole duty
appraisals and diminish difficulties that were confronted be.re..

2. Hurried implementation the of law:The total electronic method for iis a decent to
report exchanges in GSTthought yet it would have been exceptional assuming the
equivalent is carried out with apan propriate framework set up.GST wass executed
without the gateway being completely prepared and practical with
organizationsconfronting numerouss issues in acquiring enlistments, dropping
enrollments, recording GST returns and so on Indeed, evenas thee public authority
hopes to determine the errors of the GST Network, the endeavordon’t't appear to be any
helpful as while the old issues get tended to, the new issues crop up. Sinc, GST ovoverall
requestsefinite revealing of exchanges through this entrance and unsatisfactory working
oof theentry is simply prompting high time, cash, and assets being spent by
organizationson inefficientt compliances.

3. Working capital blockage :GST is known as the biggest duty change since autonomy,
itis seen thathe t administration has some way or another rushed its execution, while
numerous bushouse what’swhat's more, charge specialists

2
32
cautthe ioned administration of its executionthe on first of July 2017 and recoto
executeoexecute something similar from first of October 2017 or somewhat later yet
without paying an the y notice,government proceeded with its execution. Resultantly,
it is seen that there was disarraygather among industry, exchanged furthermore
government authorities. Indeed, even today, therearthere areus parts of GST which need
clearness. Presently, as a harm control component, like clockwclockwork alson another
warning, public statestatementschures, orders, tweeand ts are given prompting regular
changes in the law whichares just adding to the disarray. This has been one othe
greateststmishapsp aninconveniencesce which GST has brought that might have been
effortlessly kept awfrom onmon the off chance that more persistence in its execution
was shown.

4. High compliance burConsistencytence under GST is exceptionally high because of

documeng of three assessment forforms inmonth. Not just that inifn individual is
carrying on with work in numerous states, it requirements to getvarious enrollments for
each state and separate GST returns should be petitioned for each state.This design of
GST has expanded consistence weight and it is causing torment essentially
forcompliances primarily for private companies which can't spend significant expenses
on help capacitiesfor example, bookkeeping and tax assessment and so forth

5. Elimination of local tax incentives/ schemes:In prior charge system numerous

speculation basedcharge impetuses were given by focal and state legislatures to make
the region business agreeablefurthermore, empower speculations by ideals of monetary
approaches. With execution of GST, it is seenthat the expense motivations in
backhanded charges are not any more made accessible by the legislatures and theprior
existing expense motivations have likewise been ended and pruned. This has caused an
enormousstress to ventures which have set up its business in different states particularly
in north easternstates in view of different assessment impetuses guaranteed by the
legislatures. The continuation of suchcharge impetuses in the GST system in another
structure are not more worthwhile and causing highworries over practicality of such
arrangement.

3
33
6. Disconnect from Foreign Trade Policy: Unfamiliar Trade Policy (FTP) is a valuable
piece ofregulation that give motivating forces to different product and import exchanges
accordingly upliftingunfamiliar exchange. Prior such motivating forces were
additionally accessible on Excise obligation, administration charge, CVD, SADpaid,
but it seen that comparative motivations are not gone on with IGST. Further,
numerousplans and advantages as accessible to Eou's, considered trades, advance
permit and so on are not completelyconnected to the GST system prompting delinking
of FTP with GST. Since, valuable unfamiliar moneyacquired the country by the
exporters administer the nation's remaining in the global market,any such pruning in
the unfamiliar exchange strategy can affect the economy as aentirety.

1.12 Difficulties in GST

1. There is no such clear picture of out the GST both to the public authority and to the
overall population.

2. There is no collaboration between the Central government and the state government
in carrying out the GST.

3. The State government by and large won't acknowledge it. As the states demand
charges on the Destination guideline for example (the state wherein the item or
administration is sold or delivered), so to lose the income they were staying away from
it.

4. The Revenue Neutral Rate (RNR) is the key component liable for the viable
execution of GST. In any case, under GST, we were unable to say that the income stays
same the as that of the current arrangement of tax assessment.

5. Loss of income to the state. On the off chance that we purchase any item the VAT @
14.5% is incorporated towards it, after the GST system, there will be no VAT which it
resulting on the deficiency of income to the state.

3
34
Even though hat the public authority said that they will pay the deficiency of income to
the state government, it will be again forced on the overall individuals in a few different
structures.

7. It includes monstrous expense onexpenseseparation of the staff of the Taxation

office.

8. Absence of political help. The Bill should be passed in the Rajya Sabha for its
effective execution.

9. IT is the foundation of GST which would interface the different partners through the
Virtual stage. Thus,the government should show strong fascinating on the improvement
nt of gateway for GST and effectively accomplishes it.

1.13 Challenges of GST

Extra consistence trouble on ascertains administrations for this area which were excluded
under the past system have now been put to burden in beneficiary's hand. Prior, the
impermanent exchange allowing the utilization or satisfaction incopyright coveredred
under sub-area 13(1)(a) and(b) of the Indian Copyright Act, 1957 ,connecting with
unique abstract, sensational melodic or creative works or cinematograph films was
absolved. Further, the extent of taxability administrations which are put to burden under
turn arouchargeseis extended with the utilization of the words the Likeke' in the notice.
This has prompted some disarray about which all administrations, other than those
referenced in the notice would be burdened under turn around charge premise .There is
probably going to be a space for translation and this could result in outland shish case.
These administrations have now been made available and that too in the possession other
beneficiary. This would prompt an extra trouble on the beneficiary as installment of
chargee under invert charge require raising of a self-receipt and other fundamental
divulgences in returns.

3
35
1.14 Timeline of GST
During 1999: The possibility of Goods and Services Tax (GST) in India began duria
meeting heldeld in 1999 between Prime Minister Atal Bihari Vajpayee and his monetary
warning board, which included three previous RBI lead representatives specifically IG
Patel, Bimal Jala,n and C Rangarajan.
2000 : In India, taking on GST was first proposed by the Atal BihariVajpayee
governmentt in 2000. The state finance priests shaped an Empowered Committee (EC)
to make structure for GST given of their involvement with planning State VAT.
Delegates from the centre and state were mentioned to analyze different parts of the
GST proposition and make repo reports on edges, exceptions, tax collection from
between state supplies, and tax assessment from administrations. The hectometre was
going by Asim Dasgupta, the money priest of West Bengal. Discharged the board of
trustees till 2011.
2004 A team that was going by Vijay L. Kelkar the consultant to the money SERV
indicated that that the current duty structure had many issues that would be moderated
by the GST framework.
February 2005 : The serves serve, P. Chidambara, said that the medium-to- long haul
objective of the government was to execute a uniform GST structure the nation over,
covering the entire presentation conveyance chain. This was examined in the spending
plan meeting for the monetary year 2005-06.
February 2006 : The money serve set 1 April 2010 as the GST presentation date.
November 2006: Parthasarthy Shome, the consultant to P. Chidambaram, referenced
those states will have to get ready and make changes for the forthcoming GST system.
February 2007 : The 1 April 2010 cut-off time for GST execution was held in the
association financial plan for 2007-08
February 2008 : At the association spending plan meeting for 2008-09, the money serve
affirmed that considerable headway was being made in the planning of the guide for
GST. The targeted timeline for the execution was affirmed to be 1 April 2010.

3
36
July 2009 : Pranab Mukherjee, the new money pastor of India, declared the essential
skeleton of the GST framework. The 1 April 2010 cutoff time was being followed then
also.
November 2009 : The EC that was going by Asim Dasgupta set forth the First
Discussion Paper(FDP , portraying the proposed GST system. The paper was supposed
to begin a discussion that wwould generatefurther contributions from partners
February 2010 : The public authority presented the mission-mode project that
established the groundworkfor GSTT. This undertaking, with a monetary expense of
Rs.1,133 crore, mechanized business chargesinstates. Following this, the execution of
GST was moved by one year.
Walk 2011 : The public authority ddrivenby the Congress party advances the
Constitution (115thAmendment) Bill for the presentation of GST. Following dissent by
the resistance, theBill wass shipped off a standing board of trustees for an itemized
assessment.
June 2012 : The standing panel begins conversation on the Bill. Resistance groups raise
concerns overed the 279B proviso that offers extra powers to the Center over the GST
debate authority.
November 2012 : P. Chidambaram and the money pastors of states hold gatherings and
setthe deadlinee for the goal of issues as 31 December 2012. February 2013 : The
money serve, during the financial plan meeting, reports that government will give
Rs.9,000 crore as remuneration to states. He likewise requests to the state finance
ministers too work in relationship with the public authority for the execution of the
roundabout expense change.
August 2013 : The report made by the standing council is submitted to the parliament.
The board supports the guideline with few alterations to the arrangements for the
assessment design and themechanism of goal.
October 2013 : The territory of Gujarat goes against the Bill, as it would need to bear a
deficiency of Rs.14,000crore per annum, inferable from the objective- based tax
assessment rule.
May 2014 : The Constitution Amendment Bill slips. This is that every year that
Narendra Modiwas votedd into power at the Center.
December 2014 : India's new money serve, Arun Jaitley, subm

3
37
its the Constitution (122ndAmendment) Bill, 2014 in the parliament. The resistance
requested that the Bill be sentfor discussionn to the standing board of trustees.
February 2015: Jaitley, in his spending plan discourse, demonstrated that the public
authority is looking toimplement thee GST framework by 1 April 2016.
May 2015: The Lok Sabha passes the Constitution Amendment Bill. Jaitley additionally
declared that oil would be kept out of the ambit of GST for the present.
August 2015: The Bill isn't passed in the Rajya Sabha. Jaitley specifies that the
disturbance hadna o specificc cause.
Walk 2016: Jaitley says that he is in concurrence with the Congress' interest for the GST
rate not to be set above 18%. In any case, he isn'leaninged to fix the rate at 18%. Later
on if the Government, in an unanticipated crisis, is expected to raise the expense rate, it
would need to take the consent of the parliament. Along these lines, a decent pace of
duty is precluded.
June 2016: The Ministry of Finance delivers the draft model regulation on GST to the
general population, expecting suggestions and perspectives.
August 2016: The Congress-driven resistance at last consents to the Government's
proposition on the four
wide corrections to the Bill. The Bill was passed in the Rajya Sabha. September 2016
: The Honourable President of India gives his assent for the Constitution Amendment
Bill to turn into an Act.
2017: On 16 January 2017, Jaitley declares 1 July 2017 as the GST rollout cutoff time.
On 20 March 2017, Cabinet endorsed CGST, IGST, and UT GST and Compensation
bills. On 27 March 2017, Lok Sabha and Rajya Sabha pass all four vital GST Bills –
Central GST (CGST), Integrated GST (IGST), State GST (SGST), and Union Territory
GST(UTGST).On 18 May 2017, the GST Council fits over 1,200 merchandise in one
of the four paces of GST(5%, 12%, 18%, 24%).On 19 May 2017, the GST Council
settles on 5, 12, 18, and 28 percent as administration charge slabs. On 20 May 2017,
GST Council fixed four
GST charge rates in India (5%, 12%, 18%, 24%) for general merchandise and services.
During Midnight of 30 June 2017 - GST came into force across India aside from Jammu
&Kashmir. During Midnight of 7 July 2017 - Jammu and

3
38
Kashmir, the main State missed to adopt the Goods and Services Tax (GST) on July 1,
at long last joined the GST

1.15 Significance of study.

Governments: The entertainment industry assume an imperative part in working on the
country's public pay. GST will influence entertainment industry decidedly and
contrarily. The exact GST rate ought to be charged by the government on administration
and food given by entertainment; if not it might contrarily affect public pay, Gross
Domestic Product, Employment, and Per Capita Income of the country.
Economy: GST will improve India's assessment structure, widen the duty base, and
make a typical market across states. This will prompt expanded consistency and
increment India's assessment to GDP proportion. As indicated by a report by the
National Council of Applied Economic Research, GST is supposed to increment
monetary development by between 0.9 percent and 1.7 percent. Sends out are supposed
to increment by between 3.2 percent and 6.3 percent, while imports will probably rise
2.4-4.7 percent. Consequently, it is important to concentrate on how it will affect on
Entertainment Industry.
Entertainments: GST is a solitary backhanded charge on bills of food and convenience
of clients in Entertainment. It will influence pay, the offer of food, administration and
convenience paces of Entertainments. Thusly, investigation of the effect of the
Entertainment Industry is unavoidable
Customers: GST helps in further developing the client base of the Entertainment
Industry as it is a solitary backhanded charge charged on bills of clients. Subsequently,
the study is huge

1.1.6 The objective of the study

 To analyze the tax rates before GST and after GST in the entertainment
industry of India.
 To understand the overview of the media industry in India.
 To study the impact of GST rates in the entertainment industry and whether it
is becoming expensive under GST or not.

3
39
 Review of literature

2.1. Meaning of literature review

A literature review is a reviewing the research study was done on the research subject
by the researcher in an earlier period. A literature review is a survey of scholarly sources
on a specific topic. It provides an overview of current knowledge, allowing you to
identify relevant theories, methods, and gaps in the existing research. Writing a literature
review involves finding relevant publications such as books and journal articles,
critically analyzing them, and explaining what you found. There are five key steps
behind a good literature review, and they are 1. Search for relevant literature 2. Evaluate
sources 2. Identify themes, debates, and gaps. 4. Outline the structure 5. Write a literature
review.
A literature review creates a landscape review for the reader giving a full understanding
of the development in the field. This landscape informs the reader that the author has
indeed assimilated most previous, significant works in the field into research.
The main types of literature reviews are evaluative, exploratory, systematic, and
instrumental. an evaluative review of literature provides an opportunity to identify
research possibilities, develop organizational research skills, and critically investigate
relevant literature. How to write academically, establish a bibliographic database,
access information sources, manage a literature review, and structure an argument
through a literature review the exploratory type of literature review is used to explore
the literature on the research problem. It is

3
40
done for a better understanding of the existing problems but does not provide a
conclusive result. It is often referred to as a grounded theory approach or interpretative
research as it is used to answer questions like what, why, and how. A systematic review
is a type of literature review that is focused on a particular research question. The
literature review aims to review the existing literature, identify the research gap, place
the research study about other studies, evaluate promising research studies about other
studies, evaluate promising research methods, and suggest further studies. As compared
to other types, the literature review structure of instrumental ones focuses more on the
methods used and the tools employed during the study. This type of literature review is
usually used for both qualitative and quantitative works.
GST was first presented by France in 1954 and presently it is trailed by 140 nations. A
large portion of the nations followed bound together GST while certain nations like
Brazil Canada follow a double GST framework where duty forced by local and state
both. In India too double arrangement of GST is proposed including CGST and SGST.
Govind Rao (2009) "Products and Service Tax - Some advancement towards clearness"
the writer in his article express his perspectives on the principal enabled advisory group
report of state finance clergymen of Goods and Service assessment to be executed in
India. He likewise makes sense of striking highlights, and efficiencies of the proposed
GST. He recommends that the proposed GST model ought to beat the weaknesses the
of VAT framework. also throw highlight on the challenges look eat d in the execution
of GST in India.
Ehtisham Ahmed and Satya Poddar (2009) examined "Products and Service Tax
Reforms furthermore, Intergovernmental Consideration in India" and observed that
GST presentation will furnish basic and straightforward assessment framework with
expansion in result and efficiency of economy in India. Be that as it may, the advantages
of GST are fundamentally subject to jurisdiction of GST.
(Sira et al, 2010), Based on the historical backdrop of the execution by different nations
all over the planet, the greater part of the nation’s got a positive effect as far as their
income, regardless of the outcome of GST execution the Malaysian resident feel
dubious with the GST, (Saira et al, 2010). The

3
41
discoveries from the review showed that the larger part of Malaysians is not persuaded
with the GST system.
Sehrawat Monika and Dhanda Upasana (2015) in their exploration paper inferred that
there is need to execute GST for straightforward assessment framework. Over the long
haul it will build the result by which it will open an entryway for business open doors
and because of this GDP will increment by 1to1.5%. Assuming GST is carried out
effectively, it will lessen the expense of carrying on with work that will result the
homegrown item more serious in nearby and worldwide market.
Dr. R. Vasanth gopal (2011), Conducted a concentrate on , " GST in India : A major
jump in the Indirect Taxation System" and inferred that changing to consistent GST
from current muddled aberrant expense framework in India will be positive advance in
becoming Indian economy . Progress of GST will prompt its acknowledgment by in
excess of 130 nations in world and another favoured type of Indirect Tax System in
Asia moreover.
Garg Girish (2014) in his examination paper inferred that the GST will
straightforwardly influence to the enormous, medium, limited scope units, go-
betweens, shippers, exporters, merchant, experts and buyers. Aside from this GST will
further develop the duty assortments and lift India’s financial improvement by breaking
the expense hindrances among states and focal through a uniform assessment rate.
Khurana Akanksha and Sharma Aastha (2016) in their examination paper presumed
that GST will give help to makers and costumers. GST emphatically affect different
areas and industry. In spite of the fact that execution of GST requires concentrated
endeavours of all partners specifically focal and state government, exchange and
industry.
Lourdun athan F and Xavier P (2017) in their examination paper presumed that GST will
bring one country one assessment market. GST will build the income both for local and
state government. Expense form, discount and duty instalment should be possible
through „GSTNET‟ without human intercession and this will decrease defilement and
tax avoidance. They have likewise proposed that the public authority ought to lead a
studio and course on GST, that’s why individuals can without much of a stretch
comprehend about GST. Shaik Shakir, Sameera S.A. and Firoz Sk. C. (2015) in their
exploration paper inferred that GST is a decent advance taken by the public authority
and most

3
42
likely it would positively affect on public economy, global exchange, firms and buyers.
GST is viewed as a significant improvement since autonomy. A solitary rate would assist
with keeping up with straightforwardness by regarding generally Goods and service as
equivalent without giving any exceptional treatment to Goods and services. Execution
of GST will prompt business benefit which were immaculate by the VAT framework
and would prompt monetary turn of events.

pallavi chaturvedi et al., (2017). gst will give a significant lift to the' make in india"
drive of the public authority of india by making Goods and services created in india
cutthroat in the nationals as well as global market.
Ehtisham Ahmed and Satya Poddar (2009) considered, " Goods and administration
charge changes and intergovernmental thought in India " and tracked down that GST
presentation will furnish suggests and straightforward duty framework with expansion
in result and usefulness of the economy in India. In any case, the advantages of GST are
fundamentally reliant upon object design of GST.
azharuddin mohammad mussaiyib (2016), presumed that gst will surverly bring the
monetary prosperity for the country. it will reinforce the duty arrangement of india and
will affect different ventures in a positive way.
chandu ravi kumar 2015 observed that fundamentally help in eliminating monetary
inclinations brought about by present complex assessment construction and will help
underway of a typical public market.
run 2017 outcomes demonstrated that sway the gst we really want to hang tight for the
time and the public authority needs to convey increasingly more about the frameworks.
it very well may be a decent method for diminishing the dark cash and great exertion
by the public authority of india after the demonetization. in these environmental
elements the current examination varies from the early explores in various
methodologies and contributed the current writing.
As indicated by Torgler (2011), charge confidence is essential to citizen mindfulness.
On the other hand, research by Tekeli (2011) utilizing different relapse investigation
show that duty resolve has unimportant relationship on

4
43
charge mindfulness. A Tekeli (2011) end is upheld concentrate by with respect to cause
and outcomes of assessment assurance.
Research by Mustapha and Palil (2011) ,expressed that the impact of consistence
conduct towards people's mindfulness has been demonstrated in different explores.
From the discoveries of Razak and Adafula (2013); Santi (2012) they viewed that as
citizens' mindfulness is altogether connected with charge consistence and this is
likewise upheld by concentrate on Jatmiko (2006).

Poonam (2017) considered "Labor and products Tax in India: An Introductory Study‟
and presumed that GST would be a truly important stage in the field of backhanded tax
collection. The paper has attempted to give up data concerning GST framework. She in
her examination paper furthermore cited that Consumer’s taxation rate can pretty much
downsize to 25% to 30%. Indian fabricated items would turn into much more serious
in the homegrown and global business sectors. This tax collection framework would in
a flash support monetary development. GST will demonstrate more straightforward to
regulate because of its straightforwardness.
Lourdunathan and Xavier (2017) contemplated "A review on execution of Goods and
service charge (GST) in India: Prospectus and difficulties" and reasoned that GST will
bring One Country and One Tax market. GST and its effective plan and working will
prompt asset and income gains for both Center and States significantly through
enlarging of duty net also, enhancements in charge consistence. They recommended in
their exploration paper that it essential with respect to the public authority to teach, lead
appropriate preparation, nonstop classes and studio on GST is need of great importance.
Along these lines, vital advances ought to be taken.
Shefali (2016) contemplated "A Research Paper on an Impact of Goods and Service
Tax (GST) on Indian Economy" and observed that GST will work on existing aberrant
expense framework and will help eliminating shortcomings made due to the
heterogeneous tax collection framework in the past system provided that there is a
reasonable agreement over issues of edge limit, income rate, and consideration of oil-
based goods, power, alcohol and land. The public

4
44
authority ought to cease from executing such system, until the agreement is reached.
Akanksha and Aastha (2016) in their article named "Goods and service Tax in India –
A Positive Reform for Indirect Tax System" that GST will give alleviation to makers
and customers as it gives wide- and far-reaching inclusion of information tax break set-
off, administration charge set off and subsuming the few assessments. Plan and
execution of GST effectively will prompt asset and income gain for both Center and
States significantly through extending of expense base and improvement in charge
consistence. They further inferred that GST will decidedly affect different areas and
industry over the long haul. Despite the fact that execution of GST requires
concentrated endeavours of all partners specifically, Central and State Government,
exchange and industry. In this way, fundamental advances ought to be taken. Monika
And Upasana (2015) considered "GST in India: A Key Tax Reform" and presumed that
execution of GST gives a basic, easy to understand and straightforward assessment
framework. GST represents a reasonable duty framework which will colligate the
greater part of current backhanded charges and in long haul it will prompt higher result,
greater work potential open doors and prosper GDP by1-1.5%. Whenever executed
effectively, it can likewise be utilized as a compelling apparatus for monetary strategy
the executives because of cross country same duty rate. Its execution will likewise bring
about lower cost of carrying on with work. Nishita (2014) inspected "Merchandise and
Service Tax: It‟s Impact on Indian Economy", and deduced in her exploration paper that
GST isn't just VAT in addition to support charge, yet all the same a significant
improvement over the past arrangement of roundabout tax assessment framework in
India; a supported advance forward. She additionally expressed that a solitary
rate would assist with keeping up with straightforwardness
and straightforwardness by regarding generally Goods and service as equivalent without
giving unique treatment to some „special “merchandise as well as administrations. Nitin
(2014) inspected, "Merchandise and Service Tax-A Way Forward" and believed that
execution of GST in India will help in eliminating financial
contortion made bypast roundabout assessment framework and is supposed to
support impartial duty structure which is same all through all topographical areas in
India.

4
45
Garg (2014) learned about the essential ideas and elements of GST in India. He featured
that GST would be a decent backhanded charge change in our country since it would
cover generally products and administrations and all areas like industry, business
including government area and administration area. Generally enormous, limited scope
units, medium, delegates, merchants, exporters, dealers, experts, and customers would
be impacted by GST. This uniform assessment rate for focus and state would likewise
prone to work on monetary advancement by expanding charge assortments. Through
these exceptions have been limited and equivalent assessment will be borne by
assembling and administration area. Neha Rani and Sunil(2016) led a review to
comprehend the normal positive and adverse consequence of GST on various areas like
Startup Business, E-Commerce, IT, Hospitality& Tourism, Automobiles and Media
&Entertainment and so forth It has been observed that GST has a positive effect on
different areas aside from certain areas making negative difference. Pinkiet al. (2014)
considered, "Products and Service Tax- Panacea For Indirect Tax System in India" and
presumed that the new NDA government in India is positive towards execution of GST
and it is valuable for focal government, state government and as well as for customers in
lengthy run assuming its implementation is supported by solid IT framework.

Jaspreet kaur (2016) has illuminated Gst, its highlights and furthermore impact of gst
on Costs of labor and products. As indicated by Him electronic products, café bill, Suv's
and precious stone, adornments, material are Going to be less expensive and costlier
Separately. He likewise featured that Execution of gst is supposed to Tight the enormous
aberrant assessment contrasts Among coordinated and sloppy area.Raj kumar (2016)
investigated and thought about The proposed gst system and current Tax collection
framework, portrayed its impact on Work and different areas.
Milandeep Kour, Kajal Chaudhary, SurjanSingh, Baljinder Kaur (2016) featured upon
the effect of GST after its execution, distinction between GST furthermore, present
circuitous assessment and what will be difficulties and advantages of GST. Dr. Badar
Alam Iqbal (2017) states the every motivation behind GST is to take a shift from
existing complex, multi-facets and falling aberrant

4
46
assessment component which grants charge set off across the worth chain regarding the
two wares and administrations. By carrying out GST, cost of result will go down coming
about into improving the level of seriousness of Indian merchandise with regards to
imports and further increment the edge of benefit. Upendra Gupta (2017) featured upon
the vital highlights and Benefits of GST in a complete way. He underscored on how
might GST benefit and enable resident also, who is at risk to pay GST. Sachin Abda
(2017) featured that GST would be a significant move towards Indian economy as since
autonomy India has confronted a portion of the issues as a result ofcomplex backhanded
charge framework, this intricacy is thought to be settled by GST structure supplanting
all state and local government charges into one novel charge.

Dr. R. Vasanthagopal (2011) contemplated "GST in India: A Big Leap in the Indirect.
Tax assessment System" and presumed that changing to consistent GST from current
confounded aberrant expense framework in India will be a positive advance in
flourishing Indian economy. Progress of GST will prompt its acknowledgment by in
excess of 130 nations in world and another favored type of circuitous expense framework
in Asia too. Dr. R. Vasanthagopal, (2011)"GST in India: A Big Leap in the Indirect
Taxation Framework", observed that the positive effects are subject to an unbiased and
normal plan of the GST.
Adjusting the clashing interests of different partners, complete
political responsibility for an essential duty change with an established revision, the
strategy for valuation for collecting the assessment is to be required.
Jana V. M., Sarma & V Bhaskar (2012) "A Road Map for execution of Goods also,
Service Tax", from the review it is viewed that the means as attempted to execute the
exhaustive expense framework i.e., GST. The creators have illuminated then
established revision expected for the execution of GST in India. Beri Yogita (2012)
"Issues and Prospects of Goods and Services Tax (GST) in India" in this article the
writer say that India has seen with number of assessment changes since Independence.
The execution of GST will become major circuitous change in India however is
subsumes many existing circuitous expenses like focal extract obligation, customs
obligation, administration charge, extra obligations and so on by execution of GST
there will be toll of focal duties both on Goods and services which coordinates and
broaden the

47
duty base. Jana V. M., Sarma& V Bhaskar (2012) contemplated "The Road Map for
execution of Goods and Service Tax". He viewed that the means as attempted to execute
the thorough expense framework i.e., GST. The creators have illuminated the
established correction expected for the execution of GST in India.

Saayed Mohd Ali Taqvi (2013) concentrated on the difficulties and chances of Goods
and service Tax in India. He made sense of that GST is just circuitous expense that
straightforwardly influences all areas and segments of our country. It is targeting
making a solitary, brought together market that will benefit both corporates and
economy. He likewise made sense of the proposed GST model will be carried out
equal by the focal and state legislatures as Central GST and State GST respectively.
Pall et al. (2013) , study by utilizing various relapse examination, the analysts found
out that there are critical connection among mindfulness and expense
information. When people have information
connected with the expense frameworks, individuals will more will to regard the
assessment frameworks and worked on people's mindfulness. Tayib (1998)
distinguished that people's mindfulness towards the duty framework can increment at
the point when the people know about the assessment. This makes charge information
and expense mindfulness has huge relationship and when the people or the citizens
have information about it and it will make it simpler for them to study and adhere to
the duty guidelines.
The fact that knowledge about charge is makes Jawadi and far (2013) , This study
brought up critical to expand the push of specialists and residents.The specialist utilized
structure condition demonstrating to look at the connections between charge
mindfulness and expense information and scientist observed that charge information
has positive relationship with charge mindfulness. Consequently, citizens will be more
mindful about charge framework at the point when they have information and
understanding towards the expense framework. Ago Mawuli (2014) considered
"Products and Service Tax-An Appraisal" and saw that as GST isn't great for low-pay
nations and doesn't give expansive based development to unfortunate nations. If still
these nations have any desire to carry out GST then the pace of GST ought to be under
10% for development.

48
Jaiprakash (2014) in his exploration study referenced that the GST at the Central and
the State level are supposed to give more help to industry, exchange, farming and
purchasers through a more exhaustive and more extensive inclusion of info charge set-
off and support charge setoff, subsuming of a few assessments in the GST and
deliberately getting rid of CST. Reactions of industry and furthermore of exchange have
been for sure reassuring. Hence GST offers us the best choice to widen our assessment
base and we shouldn't botch these chances to present it whenever the conditions are
very ideal and economy is getting a charge out of consistent development with just
gentle expansion. Nitin Kumar (2014) contemplated "Merchandise and Service Tax-A
Way Forward" and finished up that execution of GST in India help in eliminating
financial contortion by current circuitous assessment framework and expected to
empower fair duty structure which is apathetic regarding topographical areas.

Nishitha Guptha (2014) in her review expressed that execution of GST in the Indian
structure will prompt business benefits which were immaculate by the VAT framework
furthermore, would basically prompt monetary turn of events. Subsequently GST might
introduce the probability of an aggregate addition for industry, exchange, farming and
normal purchasers as well with respect to the Central Government and the State
Government. Saravanan Venkadasalam (2014) broke down the post impact of the
products and administration charge (GST) on the public development on ASEAN States
utilizing Least Squares Dummy Variable . Model (LSDVM) in his exploration paper.
He expressed that seven of the ten ASEAN countries are now executing the GST. He
likewise proposed that the family last utilization use and general government utilization
consumption are
emphatically altogether connected with the total national output as required and support
the financial hypotheses. However, the impact of the post GST contrasts in nations.
GirishGarg, (2014) - "Essential Concepts and Features of Good and Service Tax in
India", it is observed that GST is the most coherent strides towards the complete
aberrant expense change in our country since freedom. GST will make a solitary,
coordinated Indian market to make the economy more grounded. Under GST, the tax
collection weight will be isolated

49
evenhandedly among assembling and administrations, through a lower charge rate by
expanding the duty base and limiting exclusions. Through this it is probably going to
further develop charge assortments and Boost India's financial improvement by
breaking charge obstructions among States and incorporating India through a uniform
expense rate. Pinki, Supriya Kamna and RichaVerma (2014) Goods and Service Tax –
Panacea for Indirect Tax System in India "it is observed that the GST is India's generally
aggressive backhanded charge change plan, which targets eliminating the falling impact
of expense. The development of GST was proclaimed in 2008 and expected to be in
force by 2010. Due to different reasons, it couldn't be in force. GST has been executed
in more than 150 nations which will prompts financial development of the country..

Agogo Mawuli (May 2014) considered, " Goods and Service Tax An Appraisal " and
observed that GST isn't great that low pay nations and doesn't give wide based
development to unfortunate nations. To execute GST then the pace of GST ought to be
under 10 % for development. Boonyarat et al. (2014), the analyst utilized Structure
Equation Modeling (SEM) to inspect the connections between charge mindfulness and
assessment information and the scientist figured out that charge information has
positive relationship with charge mindfulness. Thus, citizens will be more mindful about
charge framework when they have information and understanding towards the duty
framework. customers through a more extensive and more extensive inclusion of
information charge set-off and administration charge set off, subsuming of a few
assessments in the GST and deliberately eliminating of CST.Venkadasalam (2014) ,has
dissected the post impact of the merchandise and administration charge (GST) on the
public development on ASEAN States utilizing Least Squares Dummy Variable Model
(LSDVM) in his exploration paper. He expressed those seven of the ten ASEAN
countries are as of now carrying out the GST. He additionally recommended that the
family last utilization use and general government utilization consumption are
emphatically essentially connected with the total national output as required and support
the financial speculations. Be that as it may, the impact of the post GST varies in
nations.

50
 Global Journal of Scientist examination and the executives (2014) ,GirishGargh
Assistant Professor from PGDAV College University of Delhi has distributed paper
named Basic Concepts and Features of good and administration charge in India. In this
paper he has given the framework of GST and what does this charge framework needs
to accomplish with dangers and difficulties open doors that the unregulated economy can
bring.
ShefaliDani (2015) has recommended that GST organization is a wavering undertaking
to legitimize underhanded cost structure. Generally in excess of 150 countries have
executed GST thought. The law making body of India must assessment the GST
organization set up by various countries and besides their aftermaths beforehand
completing GST. IT is the need of hour that, the council should make an undertaking to
safeguard the immense poor people of India, against the development in view of
execution of GST. GST will unravel its present indirect obligation structure and should
expel inefficient perspectives made by the current heterogeneous cost structure, only
assuming there is a sensible understanding over issues of edge compel, pay rate, and fuse
of oil based wares, power, liquor and land.
SrinivasK. R (2016) in his article "Issues and Challenges of GST in India" referenced
that focal and state legislatures are enabled to demand separate expenses according to the
Indian constitution which is probably going to change the total situation of present
backhanded tax collection framework. GST will be a compressive backhanded charge
structure on produce, deals also, utilization of labor and products all through India, to
supplant the different aberrant charges demanded by the both the states. Mohammad Ali
Roshidi (2016), lead a concentrate on " Awareness and discernment of taxpayers towards
Goods and Service Tax implementation. The study attempt to figure out what level of
mindfulness and insight to GST citizens in Malaysia. This concentrate on just comprise
of 256 common assistance workers of the auxiliary teachers in the Kaul Kangsar, Perak.
Information gathered utilizing poll. The outcome shows that moderate and greater part of
respondents give a high regrettable insight to the GST. The in the long run causes most
of respondents didn't acknowledge execution of GST in Malaysia.

51
Global Journal of inventive examinations in social science and humanities (2016) , A
review on effect of GST after execution Milan-profound Kour and his co-creators
Partner Professor from Eternal University himachal Pradesh discusses the effect of GST
and execution of it, its advantage and difficulties. He likewise accentuates that GST
will change things in current situation.
Ahamd et al. (2016), observed that the degree of attention to the GST is still not came to
an acceptable level. This is on the grounds that the review included just broad inquiries
that ought to be referred to by the respondents as end clients. This causes the
respondents gave high negative view of the effect of execution of GST. The respondents
got less data and advancement of the specialists. The vast majority of the respondents
were muddled whether the labor and products are not expose to GST. Besides, because
of the absence of data on GST, the respondents had a high regrettable discernment. In
this way, the government should persuade that GST won't lastingly affect the general
population as especially persuading end clients that no expansion in costs of labor and
products.
Poonam (2017) in her review got that in the framework free from aberrant tax collection
GST plays a vital job. The falling and twofold tax assessment impacts can be decreased
by brushing focal and state charges. Customer's taxation rate will around lessen to 25%
to 30% when GST is presented and afterward after Indian made items would turn out
to be an ever-increasing number of reasonable in the homegrown and global business
sectors. This sort of tax collection framework would straightforwardly support financial
development. GST with its straightforward elements will demonstrate simpler to
manage. With the above surveys we can expect that GST is an assessment change which
will change the situation of the country as a help for this survey study.
Seasons of India (26 July, 2017), page no 1&17 it is expressed that Sweet producers are
mistaken for fixing the duty for their item as the fixings utilized in the desserts. are
burdened independently as unrefined substance and as completed merchandise the items
its burdening is different ex. Plain burfi is 5% burdened however chocolate burfi is fixed
with 28%. Plain burfi blended in with other dry organic products is of 12%. This
burdening framework makes the sweet producers to get befuddled on the amount GST
to be fixed for which item.

52
 Seasons of India dated ( 27 July , 2017) , expressed that the GST suggestion across
better places for a similar item has more extensive contrasts which the customers are
uninformed, coming about them in shock. Ex A Rasamalai sold in counter at a shop is
burdened with 5% yet assuming it is served in the inn it is burdened with 18% this has
brought about distinction of buyers shopping to buy the comparable items
Shakwipee (2017) , A review direct on the inquring the degree of mindfulness towards
GST among the entrepreneurs in Rajasthan State, tracked down that the principle
regions to be engaged incorporate preparation blunders and PC programming
accessibility.Vineet Chauhan (2018) ,Conduct a concentrate on " Measuring Awareness
about execution of GST." A review study of private company unit of Rajasthan State in
India. The review looks to assess the attention to the entrepreneurs about GST hardships
they face to encase of the current mindfulness about it. 148 private company proprietors
were examinations to distinguish the mindfulness about GST from Rajasthan state
what's more, the sort and degree of help gave and the execution of the arrangement
under GST Law.
Bar disdain (2018), observed that individuals have presumably at all in regards to the
proposed advantages of GST independent of their business type, legitimate status of
business for the explanation being they feel aggravated by the current framework which
seems, by all accounts, to be bulky. Most respondents accept that GST will carry money
related gains to their business and don't expect any huge lift in charge consistence costs.
Strangely, respondents anticipate that the spending on charge consistence should go
down after GST is carried out. The need of data combined with the unresponsiveness
towards changes might deaden the expedient

execution of this framework particularly in humble communities where still not a

solitary direction programs have been arranged and executed till date by capable
specialists. Poona m (2018), The most concerning issues in Indian duty framework like
Cascading impact and tax avoidance, mutilation can be limited by carrying out GST.
After mixture of nearby state and focal expenses intensity of industry, exporter and
friends will increment. The additional income which can be created from widen charge
base construction can be used for the development of country

53
 Chapter 3: Research methodology.

3.1 Introduction
In this chapter, the research methodology used in the study is described. The area
researcher study and process research work, the study design, and the population and
sample are described. The instrument used to collect the data, including the methods
implemented to maintain the validity and reliability of the instrument, are described.

3.2 Research approach and design

A descriptive research methodology was followed by the researcher in this research
project. Descriptive research aims to describe a population, situation, or phenomenon
accurately and systematically. In three-way, the descriptive methodology can be used.
The researcher uses survey and case study methods for this research project.

3.3. Statement of the problem

3.3.1. Meaning
The research problem statement is the pillar of the introductory part through the reader
can understand the research questions and scope of the project.

3.3.2 Background
Goods and services tax was introduced in the year 2017. GST reformed various
sectors.gst will survey bring the monetary prosperity for the country. it will reinforce
the duty arrangement of india and will affect different ventures in a positive way. gst
will give a significant lift to the' make in india" drive of the public authority of india by
making labor and products created in india cutthroat in the nationals as well as global
market.The pace of Entertainment TAX before the

54
presentation of GST changed from one state to another, beginning from 15% to 110%
contingent on the a administration area, type, and different
advantages. Various VAT + administration charge was incorporated inside the
diversification administration. The VAT and f fix charges e were charged at 14.5% and
15% individually. Under the GST regulation, media and entertainment industry is parted
into 18% and 28% rate pieces individually. The 18% GST Rate Slab incorporates TV
and DTH administrations, theatre, carnival, and exemplary dance occasions. The 28%
GST Rate Slab is for the two firms in film corridors like film tickets, gambling clubs,
funfairs fair, film celebrations, hustling, like wise occasion on The film.

The Motive of this study is the importance of GST in media and entertainment industry
and its impact through consumer perspective. Understanding the impact of GST on
Media and Entertainment industry through end user to the improvement of the GST
implementation in this industry.

3.3.3. Statement of the problem

A study of impact of GST on Media and Entertainment Industry.

3.4 Population and sample

A Total 17 Questionnaire were distributed to people. The survey was done online on
the impact of GST on media and entertainment industry. For this research work, the
researcher refers to the articles on the media houses like Zee Media and Reliance Media
and Inox and pvr cinema.

The procedure where the questionnaire was circulated to the different working class
and general public. Therefore these questions serve as data for analysis to present the
finding and draw conclusions. Further, the data analysis is performed to reach the
findings. The seventeen questions were prepared for the survey on a study on the impact
of GST on Media and Entertainment Industry out of which five demographic and other
questions related to the topic.

3.5 Research gap

55
Earlier the researcher has studied the GST implementation, impact on various sector,
GST administration. The earlier work was exploratory research work which was not
linked to any industry specific and after covid-19 . Few of the researchers have studied
the impact of gst on media and entertainment. Due to covid-19 every industry have seen
may reforms and changes at large. Earlier the media and entertainment was known for
Films in theater, music concerts and etc.

This descriptive study aims to provide insight into the impact of GST on media and
entertainment industry especially after covid-19. This gap, conceived as the impact of
gst and concsumer perception on gst on their entertainment.

The impact of gst on media and entertainment is an important research issue, the number
of previous studies on this topic is quite small, the research is limited in several respects.
Important limitations include a tendency to rely on experimental methods as opposed to
real life situations and a general emphasis on the perceptions of users as opposed to
preparers. Moreover, the object of previous studies was the impact of gst on various
sectors during introductory period of GST in india. This research project on a
exploratory study of the impact of gst on media and entertainment industry. This result
is consistent with the general findings reported in the literature, and recommendations
are therefore made to pursue this line of research.

3.6 Data collection

Data collection is the most important part of any research. The researcher might have
designed the research in an excellent way but if the required data is not collected the
project never meets its end. For this research the data collection started with 79
determining what kind of data is required for the research.
After deciding the nature of data required, the decision on the sample was taken. It was
decided that the responses shall be taken from public places so that the maximum
number of respondents could be reached. The data collected during this research consists
of two type of data:Primary data and secondary data.

56
The data collected from the Primary sources is known as Primary data. This includes
data collected in the form of Structured Questionnaires, Personal Interviews, Focused
Group interviews, etc. The secondary data includes the data collected from the sources
which are previously published. These may include the annual report of refer company.
Articles on the media houses and consumer perception on the gst implementation.
The Primary data was collected by taking the response from the respondents on the
structured questionnaire. The Non-Probability Purposive sampling was used for
selecting the respondents. The respondents included only those mobile users who use a
smartphone preferably based on the Android Platform. The data collection was done by
meeting the respondents at various places across Mumbai City. This includes the
workforce relating to the subject like working background from media and
entertainment industry and general public.
The response was taken electronically by entering the response in the Google form. The
data so collected was extracted into an excel sheet by using the Google Spreadsheet
feature. This excel sheet was downloaded and later the data was coded as per the
requirement of analysis. To collect Primary data, the questionnaire was converted into a
Google form. The data was collected online and by meeting personally. The response
was directly entered into the Google Form where the data was automatically extracted
into excel format. More than 100 respondents were approached out of which 36
respondents responded fully to the questionnaire. All the partial responses were
considered invalid and hence discarded. The sample of 36 includes only the responses
from the respondents who answered the questionnaire fully.
The secondary data includes the data presented by various research agencies and article
writers. The data presented by gst helpline india is pre gst implementation and post gst
implementation scenario. The article published by lentax brief us the fundamental
implementation of gst on the media and entertainment industry. The data presented by
that the GST rates for media outlets are lower than the VAT and Service Tax. GST will
mixedly affect media outlets, contingent upon the states.

57
 3.7. Limitations

The process of selecting this subject is of vital importance. Given that the selection was
carried out with study, it cannot be ruled out that the sample chosen for this study was
not fully random. As far as can be ascertained by the researcher, however, the companies
were selected randomly, and the process of eliminating two companies from the sample
was made transparent to the researcher.
If nonetheless, the selection had been to some extent non-random, the most likely result
would have been that the findings understate the materiality gap. Given that the
respondent was aware of the research question, it might have been inclined to select
respondent expected to have a good understanding of the gst implementation on media
and entertainment industry.
Another limitation in this research paper was maintaining the confidentiality of the
company required by the company. The study was related to the impact of gst on media
and entertainment companies therefore there might be chances that the reference
company’s confidential information gets leaked in the research paper. Necessary
precautions have been taken to not disclose confidential information of the reference
company at any point.
The preparers were not previously informed of the research question, but it is possible
that they anticipated that their answers would be compared with those of the background
from media and entertainment industry. This might have led to a reporting bias if the
preparers returned relatively low materiality thresholds to signal any belief, they may
have held that audits are too expensive. Though the questionnaire prepared by the
researcher is relative to the respondents there might have chances that the influence of
the company. While the sample includes a considerable size range, it does not include
large, listed companies. It is conceivable that in larger, listed firms, there is a better
understanding of subject matters so that any materiality gap between respondent and
preparers will be smaller. Nevertheless, it is not likely that the findings of this study can
be attributed solely to the level of knowledge. If that were the case, a negative
relationship between size and the gap would have been expected.
Finally, the paper is based on the exploratory review of the literature and the survey
conducted with reference to the media and entertainment industry. The limitation in the
review of the literature as specific to the implementation of gst on media and
entertainment industry was limited specially after covid 19. The

58
implementation of ‘gst on media and entertainment was studied but the impact of gst
specially after reopening of theater and booming of OTT platform during and after
covid is the most mandatory factor which needs to be researched.

59
 Chapter 4 Research Design and Analysis
4.1. Primary data
A total of 16 questionnaires were distributed to the people. The survey was done online
by the google form. The organizations where this questionnaire was circulated include
the students practicing articleship, working class in the gems and jewellery industry. A
total of 40 responses were collected from the people. Therefore, the questionnaire
served as data for analysis to present the findings and draw conclusions. Further, the data
analysis is performed to reach the findings.
Sixteen questions were prepared for the survey on the impact of gst on media and
entertainment industry.

The questions and the responses along with the pictorial presentation are as follows
1. Gender of the respondent

Interpretation

60
 The Gender of the respondents has a great influence on the perception of the person. In
general, both males and females have different significant perception on the GST.
As shown in the above diagram, it can be observed that nearly 51.9% respondents are
male and 48.1 % respondents are female.
Table
4.1: - Gender of the respondent

SL.NO. Response No. of respondent Percentage (%)

1 Male 42 52
2 Female 39 48
3 Prefer not to say 0 0

4 Total 81 100

2. Age group of the respondents

Interpretation
For any kind of survey, one of the most important questions to be asked is age. Young
age people have different calculations and old age have great years of experience
throughout of their life. Both the different age group contribute towards the study of
impact of GST on media and entertainment industry.
As we can see in the above pictorial table the age from 18 to 24 consists around 33.3% of
the response. Then age group between 31 to 40 consists of 25.9 %. Age group 41 to 50
consists of 18.9%. age group 24 to 30 and above 50 both of them consists 11.1%.

61
Table 4.2 : age of the respondent
Sl.No. Response No. of respondents Percentage

1 18 to 24 years 27 33.3%

2 24 to 30 years 9 11.1%

3 31 to 40 years 21 25.9%

4 41 to 50 years 15 18.5%

5 Above 50 years 9 11.1%

Total 81 100

3. Academic qualification of the respondents

62
Interpretation
The Third question was asked in the survey was an academic qualification. Academic
qualifications change the view of the individual looking towards the problem. Higher
qualification gains more knowledge towards a specific subject. The survey-based on the
qualification as graduation, post-graduation, professional qualification and other
qualification such as legal.
Out of total respondents 33.3% respondents are graduate from various background,
Then professional degree holders count around 25.9 % and 22 % are post graduates.

18% respondents are pursed till 12th standard and below.

Table 4.3 Qualification of the respondent
Sl.No. Response No. of respondents Percentage

1 12th and below 15 18.5%

2 Graduation 27 33.35

3 Post-Graduation 18 22.2%

4 Professional Degree 20 25%

(eg. Legal)
5 Total 81 100

63
 4. Working experience of the respondents

Interpretation

Working experience is the only factor that influences effectiveness other than
qualification. With the educational and gaining knowledge can be a great impact on the
decisions.
The respondent of this survey has great working experience. in total 37% of the
respondent are above 10 years of experience. Experience from 5 to10 years and 1 to3
years both of them consists 18.5 % of the responses. 14.8 % respondents are freshers or
no working experience. 11.1 % respondents are from 3 to 5 years work experience
group.
Table 4.4: - Working experience
Sl.No. Response No. of respondents Percentage

1 Fresher 12 14.8%

2 1 to 3 years 16 18.5%

3 3 to 5 years 9 11.1%

4 5 to 10 years 16 18.5%

5 Above 10 years 30 37%

6 Total 81 100

Most preferred entertainment sectors

64
 There are various sector of entertainment we can see. During covid due to lockdown
OTT platform took boom in India.Earlier Television industry and Theatre, cinema halls
having their monopoly in India.
The response collected for this data says 43. % of the respondent prefer OTT platform

for their entertainment. 36 % of the respondent prefer theatre or cinema hall for their
entertainment. 13 % of the respondent prefer TV for their entertainment. And few
people wanted to prefer on ground events for their

entertainment.
Table 4.5: - Most preferred entertainment sector
Sl.No. Response No. of respondents Percentage

1 Theater 31 38.7%

2 Amusement Park and 4 5%

on ground event
3 Television 11 13.3%

4 OTT platform 35 43%

5 Total 81 100

Are you aware of GST slab and tax rate of media and
entertainment industry?

65
Interpretation
While collecting the information understanding of the subject is more important. If the
respondent is not aware of the subject then the response collected is fully biased and not
for use. This response show they are aware of GST and tax rate on media and
entertainment industry.
From total, 57,9% of the respondents are aware of the GST slab and rate of media and
entertainment industry. 26.3 % respondents are not sure of their knowledge. 15.8% of
the respondents are not aware of the exact tax of GST on entertainment industry.

Table 4.6: - Awareness of GST slabs

Sl.No. Response No. of respondents Percentage

1 Yes 47 58%

2 No 13 16%

3 Maybe 21 26%

4 Total 81 100

Are you comfortable with current GST rate on your entertainment?

66
Due to wrong perception or lack of awareness people assumed tax as in burden

on them. The above question collects the response of comfort ability of the
respondent on the tax rate.
40.7% of the respondents are comfortable with current tax rate on their
entertainment. But with same or less percent around 37% respondents are not
comfortable with current tax rate on entertainment.
Table4.7:- Comfortability of tax rate among people
Sl.No. Response No. of respondents Percentage

1 Yes 33 40

2 No 30 37

3 Maybe 18 22

4 Total 81 100

Does GST bring transformation in media and entertainment industry?

67
The aim behind implementation of GST and abolish previous tax regime to bring
transformation in the various sectors of the country. The stated question is ask
to understand the perception of taxpayer on gst and if the aim is achieved or
the targeted objective is achieved or not.
The above result states that 29.6% respondent disagree with the statement that
GST does not bring transformation in the media and entertainment industry.at
the same time 29.6% strongly believe that GST brings transformation in the
media and entertainment industry. 22.2 % respondent believe that GST brings
various transformation. 14.8% respondent wanted to be neutral on the above
statement.
Table 4.8: - GST brings transformation in media and entertainment industry
Sl.No. Response No. of respondents Percentage

1 Agree 19 22%

2 Strongly agree 24 30%

3 neutral 12 15%

4 Disagree 24 30%

5 Strongly disagree 2 3%

6 Total 81 100

68
Does GST increase various legal formalities?

The perception, understanding of the general public is important for

implementation of regulations and their effectiveness. The above questions is
asked to the respondent is GST increased various legal formalities.
From the collected sample data 29.6% respondent strongly thinks that GST
implementation add more legal formalities. 25.9% of the respondent agree that
GST increase legal formalities. 22.2% respondent wanted to be neutral on the
above stated subject. 18.5% of the respondent disagree that GST Increase

various legal formalities.

Table 4.9 :- GST increases various legal formalities

Sl.No. Response No. of respondents Percentage

1 Agree 21 26%

2 Strongly agree 24 30%

3 neutral 18 22%

4 Disagree 15 18.5%

5 Strongly disagree 3 3.5%

6 Total 81 100

Do you pay attention on the tax slab and statement given on the bills?

69
The GST slab and the tax rate given on the bills paid by the customer or
consumer for understanding of what tax they have paid on their bills. From

collected respondent most responses says yes they pay attention to the GST
on their bills which is a good sign.
From the collected response 63 % of the respondent says they do read the GST
amount paid and statement on their bills. 29.6% respondent says sometimes
they read and pay attention on the tax amount paid by them. 7% says they have
not paid attention to the tax amount paid by them on their bills and statement
given.
Table 4.10: - Attention of the respondent towards GST slab and tax rate on bills
Sl.No. Response No. of respondents Percentage

1 Yes 51 63%

2 No 6 7%

3 sometimes 24 30%

4 Total 81 100

Does GST is difficult to understand?

70
For Good implementation of tax regulations the tax payer need to understand
why they have to pay these taxes, under which slab they have to pay tax , on
what rate they have to pay tax.
The sample data says 29.6% disagree with this statement as it’s difficult to
understand GST slab and rate. But at the same time 25.9 % respondent agree
with the statement they find difficulties in understanding of GST slab and rates.
22.2% respondent wanted to be neutral on the above statement. But 14.8%
respondent strongly feels GST is difficult to understand.
Table 4.11 :- Difficulties in understanding of GST
Sl.No. Response No. of respondents Percentage

1 Agree 21 26%

2 Strongly agree 12 15%

3 neutral 18 22%

4 Disagree 24 30%

5 Strongly disagree 6 7%

6 Total 81 100

Do you feel GST increased burden on the accounts of media

companies?

71
The books of accounts have to follow rules and regulations. The response
collected was to get idea if the GST implementation adds burden on the books
of accounts.
The above study says 44. % Of the respondents feels GST adds burden on the
books of account. 37 % respondent does not feel GST implementation as in
burden on the books of account. 18.5 % of the respondent feels maybe GST
implementation adds burden on the books of account.
Table 4.12: - GST adds burden on books of account
Sl.No. Response No. of respondents Percentage

1 Yes 36 44

2 No 30 37%

3 maybe 15 19%

4 Total 81 100

Prior tax rate on media and entertainment was better than GST?

72
 The above stated question compares the prior tax rate and current GST
implementation. Comparison states the pros and cons of previous tax rate and
gst rate for improvement.
The above response states 37% of the respondent feels GST is better than
previous tax rate. 33.3% of the respondent feels prior tax rate was good. 29.6%
of the respondent feels may be GST is better than prior tax regulation.

Table 4.13 :- prior tax system is better than GST

Sl.No. Response No. of respondents Percentage

1 Yes 27 33%

2 No 30 37%

3 maybe 24 30%

4 Total 81 100

73
GST increase the government earning from media and entertainment sector
after its implementation?

The GST implementation brings various changes and transformation due to this
earnings of the government through the collection of taxes have certain
effect.The question was to asked study the perception of general public towards
this collection of taxes.
59.3% respondent think that GST implementation increases the collection of
the government. 22.2% of the respondent doesn’t think GST increases the
collection of GST. 18.5% of the respondents wanted to be neutral on the above
question.
Table 4.14:- increase in government earnings through GST on media and
entertainment industry.
Sl.No. Response No. of respondents Percentage

1 Yes 48 60%

2 No 18 21%

3 maybe 15 19%

4 Total 81 100

Do you think GST reduced the numbers of mal practice and tax evasion in
media and entertainment industry?

74
GST was introduced with motive to reduce malpractice of the tax payer.

51.9% of the respondents think implementation of GST reduced malpractice of

tax in media and entertainment industry. 29.6 of the respondent does not think
implementation of GST reduced malpractice of tax in media and entertainment
industry.18.5% of the respondent feels may be GST implementation reduced
malpractice of tax in media and entertainment industry.

Table 4.15:- Impact of GST on malpractice and tax evasion in media and
entertainment industry.
Sl.No. Response No. of respondents Percentage

1 Yes 42 52%

2 No 24 30%

3 maybe 15 18%

4 Total 81 100

75
GST increase burden of tax on your entertainment

Basically, taxes are collected from the public for the development of the society.
If the tax payer feels burden if this contribution then it may increase malpractice.

The above response collected states 33.3% of the respondent wanted to be

neutral on this subject. 29.6% of the respondent does not feels GST as burden
on them. But the 18% of the respondent strongly feels GST burden on them.
18% of the feels GST as burden on them.
Table 4.16 impact of GST on common man , does they feel burden.
Sl.No. Response No. of respondents Percentage

1 Agree 15 18.5%

2 Strongly agree 15 18.5%

3 neutral 27 33%

4 Disagree 24 30%

5 Strongly disagree 0 0

6 Total 81 100

76
4.2 Secondary Data
Diversion and Media Industry Growth As we probably are aware, the diversion and the
media business in India is one of the most succeeding and blasting economies in the
country. It has seen an immense expansion over the most recent couple of years and it
will keep on doing extraordinary by its vibes. In the event that we talk about the movies,
its income is good to go to ascend to 18,047 Cr in 2021. Amusement is incredibly
essential in our lives. In the wake of a monotonous day's worth of effort, we need to
unwind and watch a decent TV show or an intriguing film. So its not shocking the
business income is one of the most extravagant in the country Pre-GST Era should take
a gander at the pre-GST time. Prior, administrations like telecom, Direct-To-Home
(DTH, etc was collected with amusement charge. Its rate used to contrast state by state.
Gujarat was accused of 20% of diversion charge while Bihar was burdened half. With
regards to Maharshtra, it was 45% (nothing for marathi films) while Tamil Nadu was
15% (nothing for tamil motion pictures). So indeed, the diversion charge shifted state
wise. In the pre-GST period, the help charge was 15% and media outlets just needed to
pay 60% of the 15% assistance charge. Under the VAT system, the all out charge was
between 14%/23.5%.Effect of GST on Films end up with more than 28% GST which
has at last lead to huge expansion in the ticket costs for film buffs and is very burdening
for the entertainment world that is as of now doing combating robbery. Regardless of
whether the film ticket is under 100 rupees (which is very interesting), there is as yet a
flood of more than 10% with respect to burden risk which will ultimately be borne by
the end shopper. The states that had a high amusement tax cut from GST.
Since the nearby amusement charge rate in these states is done away, the 28% GSR
rate is gainful as these states at any rate had a pace of around 38%-40% to a normal.
Yet, then again, it awfully affects film participants in states like Gujarat, Andhra
Pradesh, Punjab, etc where the rates were lower previously.
Lenstax The pace of Entertainment TAX before the presentation of GST changed from
one state to another, beginning from 15% to 110% contingent on the administrations,
area, type, and different advantages. Numerous VAT +

77
administration charge was incorporated inside the diversion related administrations.
The VAT and fix charge were charged at 14.5% and 15% individually. the speed
fluctuation was balanced out after the execution of GST and presently gives a reliable
market across the country, which forestalls exchange. One of the fundamental changes
has been the subsuming of Entertainment Tax under GST. Prior, before GST, the speed
of Entertainment Tax for the film business changed from one state to another,
beginning from 15% to every available ounce of effort. The presentation of GST has
balanced out the speed change and gives a steady market across the state. A GST of
18% is demanded on film tickets up to 100 INR, and 28% on film tickets costing very
100 INR. The uniform rate across the state forestalls exchange. Further, the expenses
of DTH and link administrations diminished after the execution of GST. In any case,
games like IPL draw in a 28% GST demand, which makes them exorbitant.
Saginfotech statesThe significant advantage that GST builds is that the amusement
charge which differed from 8-12% is additionally imposed by expanding the normal
assessment as much as 25%. Nonetheless, after GST the purchaser would need to pay
a solitary expense between that can be anything between 18-20%. However, the GST
board has summarized the expense rates at 28% additionally including full info tax
reduction.
Subsequently the general taxation rate on customers is set to decrease and any nearby
body assessment or state level expense imposed will presently be accessible as a credit,
lessening the general expense of creation and deals.
These costs will currently be accessible for set off/remuneration in the result. One
more benefit of GST is the disposal of double duty duties of administration expense
and VAT on different exchanges that happen.
There are different sections of the media business that would shift focus over to the
GST system as a rescuer. Forcing GST through inventory network ought to permit the
makers and studios to set off the assessments, consequently lessening costs tangibly.
According to the past assessment framework, the business chiefs were obligated to pay
an over the top measure of cash as administration charge for satellite freedoms and so
on After GST execution all expenses have gone under one umbrella making it a lot less
complex for modern heads. According to the GST regulation, the costs borne on the

78
commercial can now be profited for the info tax reduction on the charges paid on the
notices straight. Priyajit Ghosh, accomplice aberrant expense, KPMG said that "The
motivation behind why such advantage would be accessible [under GST] is that
[currently] while administration charge material on the ad is a focal duty, VAT is a state
charge. The credit of focal expense against state charges isn't permitted." This has
allowed the organizations to recover the benefits once more into the ads which have
come about in at last lift the general consumption by 10%. However, as another
provision anticipates to take an agree over this benefit stand, the counter exploitative
statement powers down the association to pass the tax reductions to a definitive
purchasers at any rate. As deciphered by Ghosh, "The counter exploitative arrangement
expects organizations to decrease costs to the degree of the credit that they are
benefited." The GST charge ends up being a shelter for media obtaining anchors which
presently needs to manage different expense processes in all various states in the
country. This implies that assessment cost will lessen and benefits will increment. The
problem of managing different state legislatures with various expense framework will
be diminished to the more prominent degree. In general, GST will in any case push the
foundation of advanced media to an upper level.
CA Club india The GST bill might end up being a help for media obtaining chains
which as of now manages different expense processes in various states. This
demonstrates that expense cost will decrease and benefits will increment. In general,
impending GST will at any rate push the foundation of advanced media to an upper
level. GST has all the earmarks of being a positive regulation for media outlets overall.
The effect of GST relies on its smooth execution, restraint of further burdening by State
Government and nearby specialists to build the weight on business as well as
purchasers. I commerce central Media and Entertainment: The duty rate for the Media
is around 22% at this point and since the expert for the toll of duties stays to be the right
of the nearby bodies, it is normal that the film passages are supposed to descend after
the GST system and the expense of DTH and satellite TV administrations are probably
going to become costlier. There is to some degree either nonpartisan or marginally
adverse consequence of GST on the Media and Entertainment Industry. In the article
released by yourstory on saumin shah CFO of Hungama

79
Digital Media Entertainment. He expresses that there will be a positive effect on the
general advertisement space field because of the rearrangements of the duty code, the
decrease of shortcomings, and the more noteworthy job of administration with
continuous observing and following code "The normal development in India's GDP by
more than 8% on the rear of efficiencies emerging from GST carry out will prompt
expansion in publicizing spends, with a more prominent pie for advanced promoting.
Organizations across areas will be benefited because of a solitary toll and better case of
Input tax breaks, which might be furrowed once again into publicizing. Computerized
publicizing will help the most in the general promoting space as it keeps on developing
dramatically with enormous expansion in purchasers on advanced stages," he tells In
the IPleaders one Tax One Nation One Market is the primary adage of the GST which
ends up being an aid for the whole world. After the execution of GST in India, the
income assortment has expanded definitely, inside these 4 years the public authority
has acquired greatest income. GST regulation is planned so that aides in forestalling tax
avoidance passing on no escape clause for the fraudsters to sidestep charges. Under GST
there is a free progression of Input Tax Credit which helps with the smooth running of
the business and gives alleviation to numerous areas from the high pace of duties
charged on the labor and products.
In any case, assuming we go through a few useful perspectives there are numerous deals
that are needing explanation. Associations will currently need to equip both as far as IT
foundation and business cycles to embrace the maximum capacity of the new expense
system which looks generally set to turn into a reality very soon. Media and
Entertainment is an always changing industry that has turned into a requirement for
everybody. However, it has been seen that in all the assessment systems whether Pre-
GST or Post GST the M&E area was generally positioned in the most noteworthy duty
section. The public authority ought to see through it and furthermore shift the duty
chunk of the M&E business from Luxury Tax to the lower charge rate section.
According to livemint When the GST introduced Multiplex organizations PVR Ltd and
Inox Leisure Ltd-are supposed to profit from the execution of the labor and products
charge (GST). That is predominantly by virtue of the info tax reduction on fixed costs
that these organizations bear like lease, normal region

80
upkeep, etc. Appraisals organization Icra Ltd gauges that information tax break will be
accessible on 33% of the all out working expenses.The GST rate has been fixed at 28%
for tickets costing more than Rs100 and 18% for those under Rs100. Tickets underneath
Rs100 represent a little part of by and large ticket deals of PVR and Inox. This is
frustrating thinking about that the amusement charge is in a comparable scope (of 28%)
for these organizations. As investigators from Dolat Capital Market Pvt. Ltd call
attention to, amusement charge for PVR and Inox in view of their net film industry
assortment is 29% and 27%, individually, as on financial year 2017 (FY17) and along
these lines a 28% GST rate wouldn't have any effect for the multiplex chains. Note that
the business was anticipating 18% rate no matter how you look at it.
According to cleartax the effect of GST on the end shopper involving film lobbies for
instance. In cinemas (multiplexes), food and refreshments are charged at a VAT of
20.5% and a normal of 30% duty is exacted on tickets, contingent upon the state. Film
tickets will draw in GST at 28%. As food and refreshments fall under the stockpile of
food/drinks in open air cooking, they will draw in 18%.
Subsequently, we see that the GST rates for media outlets are lower than the VAT and
Service Tax. GST will mixedly affect media outlets, contingent upon the states. For
states with a high amusement charge, GST will be valuable as it will diminish the costs
for the end purchasers. Be that as it may, GST will contrarily affect states which as of
now have a low diversion charge.
For Entertainment Industry Owners Like the end purchasers, even media outlets will
see a changed effect of GST execution. Cinemas and carnivals might see either a
positive or an adverse consequence relying upon the state they are in. Accessibility of
ITC - ITC will currently be accessible on the administrations part of exercises like
providing food, leasing of premises for film corridors, security costs which were not
accessible under the pre-GST system. In this GST from selling tickets. Extra Tax by
Municipalities Civil bodies have up until this point not had any offer in amusement
charges gathered by states. In any case, there are reports that a few states like Madhya
Pradesh, Rajasthan, and Gujarat which could request that their nearby bodies charge
diversion charge. In the event that neighborhood charges become appropriate, the
working edges and benefits, as determined above, will be impacted. The effect

81
of GST on media outlets can be both positive and negative, contingent upon the state.
Proprietors of film lobbies, parks and so forth stand to acquire under GST because of
the arrangement of info tax break. Nonetheless, the impact of any extra neighborhood
charges (whenever imposed) should be seen. The Goods and services tax (GST)
exploitative guard dog has held multiplex chain PVR at fault for not passing on the
advantage of lower GST rates to purchasers. Nonetheless, it has ruled against forcing
any punishment. This is on the grounds that PVR, Telangana, intentionally stored Rs
13.72 lakh alongside interest worth Rs 35,800 to the buyer government assistance
reserve, in consistence with the counter exploitative standards under GST. As per the
grumbling, PVR didn't pass on the advantage of decrease when GST rates were marked
down from 28% to 18 percent with impact from January 1, 2019 and ticket costs stayed
unaltered. The tickets, evaluated at Rs 250, Rs 200 and Rs 150, were sold at a similar
cost preceding and after the GST rate decrease as the multiplex chain expanded their
base cost. The GST Council had chosen to bring down GST rates on film passes to 12
percent from 18% for those estimated at up to Rs 100 and cut rates from 28% to 18
percent for tickets valued above Rs 100.

82
 4.3 Conclusion

The entertainment world of India is one of the biggest on the planet. The effect of GST
on the entertainment world has both positive and adverse consequences relying upon the
state. The states who never forced any expense pointed distinctly to advance their
movies. In such states, GST has turned into a weight now. In any case, not many of the
states with high amusement charge rates need to pay just lesser. The new expense
structure under GST is viewed as sure for the multiplex administrators on a net premise,
and expected to support their benefit. This is essentially attributable to the information
tax reduction (ITC) expected on the proper costs that a multiplex brings about like rental,
CAM, power, and so on. The costs of DTH and link administrations and notice on paper
media have caught the execution of GST. As the utilization of DTH and link
administrations have expanded, this would help the end shopper. The ticket costs for
entertainment or amusement parks and for shows have expanded under the new design.
The possibility of diversion, particularly going for a show or to the carnival is huge in
urban areas. It draws in the adolescent in the city, yet additionally youths from adjacent
towns and towns. As the costs have expanded, these spots will be abandoned, which
influences both the proprietors and purchaser.

83
Chapter 5 findings suggestion and conclusion

5.1 Findings
1. The sample data collected states that out of total respondents 51.9% respondents are
male and 48.1 % respondents are female.
2. The age group of sample data collected are age from 18 to 24 consists around 33.3%
of the response. Then age group between 31 to 40 consists of 25.9 %. Age group 41
to 50 consists of 18.9%. age group 24 to 30 and above 50 both of them consists
11.1%.
3. Out of total respondents 33.3% respondents are graduate from various background,
Then professional degree holders count around 25.9 % and 22 % are post graduates.

18% respondents are pursed till 12th standard and below.

4. The response collected for this data says 43.% of the respondent prefer
OTT platform for their entertainment. 36 % of the respondent prefer theatre or
cinema hall for their entertainment. 13 % of the respondent prefer TV for their
entertainment. And few people wanted to prefer on ground events for

their entertainment.
5. The above response states 37% of the respondent feels GST is better than previous
tax rate. 33.3% of the respondent feels prior tax rate was good. 29.6% of the
respondent feels may be GST is better than prior tax regulation.
6. Out of total 37% of the respondent are above 10 years of experience. Experience
from 5 to10 years and 1 to3 years both of them consists 18.5 % of the responses.
14.8 % respondents are freshers or no working experience. 11.1 % respondents are
from 3 to 5 years work experience group.
7. From the collected response 63 % of the respondent says they do read the GST
amount paid and statement on their bills. 29.6% respondent says sometimes they
read and pay attention on the tax amount paid by them. 7% says they have not paid
attention to the tax amount paid by them on their bills and statement given.
8. The above study says 44. % of the respondents feels GST adds burden on the books
of account. 37 % respondent does not feel GST implementation

84
 as in burden on the books of account. 18.5 % of the respondent feels maybe GST
implementation adds burden on the books of account.
9. 40.7% of the respondents are comfortable with current tax rate on their
entertainment. But with same or less percent around 37% respondents are not
comfortable with current tax rate on entertainment.
10. The sample data says 29.6% disagree with this statement as it’s difficult to
understand GST slab and rate. But at the same time 25.9 % respondent agree with
the statement they find difficulties in understanding of GST slab and rates. 22.2%
respondent wanted to be neutral on the above statement. But 14.8% respondent
strongly feels GST is difficult to understand.
11. From total respondents 57,9% of the respondents are aware of the GST slab and rate
of media and entertainment industry. 26.3 % respondents are not sure of their
knowledge. 15.8% of the respondents are not aware of the exact tax of GST on
entertainment industry.
12. 59.3% respondent think that GST implementation increases the collection of the
government. 22.2% of the respondent doesn’t think GST increases the collection of
GST. 18.5% of the respondents wanted to be neutral on the above question.

13. From the collected sample data 29.6% respondent strongly thinks that GST
implementation add more legal formalities. 25.9% of the respondent agree that GST
increase legal formalities. 22.2% respondent wanted to be neutral on the above
stated subject. 18.5% of the respondent disagree that GST

Increase various legal formalities.

14. The above response collected states 33.3% of the respondent wanted to be neutral on
this subject. 29.6% of the respondent does not feels GST as burden on them. But
the 18% of the respondent strongly feels GST burden on them. 18% of the feels
GST as burden on them.
15. The above result states that 29.6% respondent disagree with the statement that GST
does not bring transformation in the media and entertainment industry.at the same
time 29.6% strongly believe that GST brings transformation in the media and
entertainment industry. 22.2 % respondent believe that GST brings

85
16. 51.9% of the respondents think implementation of GST reduced malpractice of tax
in media and entertainment industry. 29.6 of the respondents does not think
implementation of GST reduced malpractice of tax in media and entertainment
industry.18.5% of the respondent feels may be GST implementation reduced
malpractice of tax in media and entertainment industry.

86
 5.2 Suggestions

The scope of the study was towards the impact of GST on the media and entertainment
industry. For this study the researcher has refer the secondary data available on the
media company like zee media and multiplex theatres like inox and PVR. The collected
resources and response shows the impact of GST on the media and entertainment
industry.The study states that GST has increased the various legal formalities. Which
may create difficulties to the tax collector. It needs to be simply sized. Due to this reason
tax payers fill tax as in burden on them. It may lead to malpractice. GST council should
take appropriate measure to spread the awareness on implementation of GST
mechanism. The the procedures and legal formalities needs to be reduced so the tax
bearer should not fill burden on them. presently experiences different ambiguities and
provisos to a degree. besides certain provisions of GST appear to go against the target
with which they were brought into reality. These should be tended to at the earliest.
There ought to be further pruning of expense rates. As of now, there are close to about
six rates on labor and products. A union of the rate construction ought to be thought of.
The idea and accessibility of info tax break have been changed when contrasted with
before arrangements; in any case, there are as yet specific limitations. There should be
free accessibility of information tax reduction with practically no limitation or
conditions. The normal gateway (www.gst.gov.in) ought to be additionally rearranged,
made more easy to use and offer added adaptability for average folks understanding.
There ought to be an emphasis on charge organization; the lawful sacredness of duty
regulations lives just in acts, rules and notices. Under GST, there is an over- burden of
data and perspectives in the public space as FAQs, tweets and e- flyers, offering
clashing responses and weakening the confidence of a citizen. The entertainment tax is
subsumed under GST and now overall burden on the end consumer is reduced.earlier
the entertainment tax was high compare to the GST. And previous tax leads cascading
effect. The survey collect still suggest that the tax on their entertainment is still quite
high and it needs to be reduced. Increased tax rate under GST on services rendered by
artists like composers, cinematographers is nil and burden is shifted to the producers
which needs to be reduce. Local authorities in some states like maharashtra are leying
a local bodies entertainment tax ranging from 10 to 25% on movies , cable TV and DTH
services. These additional taxes by local bodies appear to be a backdoor entry of
entertainement tax and if continued to be levied by local authorities, would decrease the

87
operating margins and profits for the industry and thus would increase the cost to
consumers. The entertainment industry has both positive and negative impact state wise.

burden of data and perspectives in the public space as FAQs, tweets and e- flyers,
offering clashing responses and weakening the confidence of a citizen. The
entertainment tax is subsumed under GST and now overall burden on the end consumer
is reduced.earlier the entertainment tax was high compare to the GST. And previous tax
leads cascading effect. The survey collect still suggest that the tax on their entertainment
is still quite high and it needs to be reduced. Increased tax rate under GST on services
rendered by artists like composers, cinematographers is nil and burden is shifted to the
producers which needs to be reduce. Local authorities in some states like maharashtra
are leying a local bodies entertainment tax ranging from 10 to 25% on movies , cable
TV and DTH services. These additional taxes by local bodies appear to be a backdoor
entry of entertainement tax and if continued to be levied by local authorities, would
decrease the operating margins and profits for the industry and thus would increase the
cost to consumers. The entertainment industry has both positive and negative impact
state wise.

88
 5.3 Conclusion

To close, it could be said that however the present GST framework sounds immaculate
on paper, yet truly, it isn't. It has unreasonable differential duty rates and procedural
bottlenecks. Additionally, a significant dread with this GST structure is that it would
permit nearby districts to conclude the expense rate on motion pictures. A key exclusion
has been removed, in particular on move of IP connecting with unique abstract,
emotional, melodic or creative works or cinematograph films which as accessible prior.
In addition, the beneficiary of specific administrations presently would confront
working capital mash because of administrations being likely to burden under invert
charge premise in the recipients hand. Be that as it may, on an overall note, the GST
system causes a lot of good than damage, as it engages both the middle and the states to
collect GST. This wasn't possible beforehand, as the middle didn't have the ability to
force any kind of expense on products past the assembling system, while the state
couldn't burden administrations. GST has not just amalgamated a few kinds of circuitous
duties into one to eliminate falling impact, yet additionally has decreased the general
taxation rate on shoppers. It is viewed as a much basic expense system as far as
consistence and organization when contrasted with its ancestor. Also, presently charge
paid on acquisition of merchandise can be utilized as credit for installment of result
charge responsibility on offering types of assistance as well as the other way around. In
this way, GST all around is a preferred arrangement over the past assessment system.
Be that as it may, the current assessment rates and its strategy of execution including
the consistence framework draw in specific debates. Remembering that GST is at its
incipient stage, if fundamental, adjustments are made in the guidelines, it can give
Media and Entertainment area an edge in development over the past arrangement of tax
assessment

89
 6.Bibiliography

Govind Rao (2009) “Goods and service tax -some advancement towards clearness.”

Dr.R vassanth Gopal (2011) “ GST in india: A major jump in the indirect tax system”

Pallavi Chaturvedi (2017) “GST: A significant lift to make in india”

Vineet Chauhan (2018) “Measuring awareness about execution of GST”

Global journal 2018 “A review of GST after execution”

Rajesh Naidu 2017 “ GST impact on entertainment industry”

Nayan rijhwani (2017) “ impact of GST on media and entertainment industry”

Hemanth p vastani (2017) “GST impact on media and entertainment industry”

Website:
 ResearchGate

 Cleartax.in

 Studocu.com

 Bajaj finserv.in

 Yourstory.com

 Blog.ipleaders.in

90
Questionnaire:

 Gender of the respondent

 The age group of the respondents
 Academic qualification of the respondents
 Working experience of the respondents
 Entertainment sector respondent preferred
 Are you are of GST slab and tax rate of media and entertainment industry?
 Are you comfortable with current GST rate on your entertainment?
 Does GST brings transformation in media and entertainment industry?
 Does GST increase various legal formalities?
 Do you pay attention on the tax slab and Statement given in the bills?
 Does GST is difficult to understand?
 Do you feel GST increase burden on the account of media companies?
 Prior tax rate on media and entertainment was better than GST!
 GST increase the government earning after implantation
 Do you think GST reduced the malpractice and tax evasion in media and
entertainment industry?
 GST increase burden on your entertainment?

91
92