(1) Notwithstanding anything contained in sections 3, 3A and 4 and subject to such rules as may be made by Government in this behalf, a proprietor of an amusement park shall pay an annual entertainment tax fixed by the local authority within the range of rates specified against each category, namely.— 1 Substituted by Act 19 of 1975 (w.e.f 01-08-1975).
2 Substituted by Act 19 of 1975 (w.e.f 01-08-1975).
3 Substituted by Act 16 of 2000 (w.e.f 12-05-2000).
4 Inserted by Act 5 of 2019 (w.e.f 01-04-2019).
5 Inserted by Act 16 of 2000 (w.e.f 12-05-2000).
6 Substituted by Act 5 of 2019 (w.e.f 01-04-2019).
7 Inserted by Act 16 of 2000 (w.e.f 12-05-2000).
8 Inserted by Act 26 of 2005 (w.e.f 01-04-1999).
Category Range of rates of entertainment tax to be fixed by the local authority
(1) (2) CATEGORY A Amusement park having an investment up to Rs. 3 crores and having area to an extent of 2 hectares and below (excluding the area provided for parking vehicles and other unutilized/vacant area) Rs. 3 to 6 lakhs CATEGORY B Amusement park having an investment of above Rs. 3 crores but below Rs. 10 crores and having area to an extent of above 2 hectares but below 4 hectares (excluding the area provided for parking vehicles and other unutilized/vacant area) Rs. 10 to 15 lakhs CATEGORY C Amusement park having an investment of Rs.
10 crores and above but below Rs. 20 crores and having area to an extent of 4 hectares and above but below 6 hectares (excluding the area provided for parking vehicles and other unutilized/vacant area) Rs. 25 to 30 lakhs CATEGORY D Amusement park having an investment of Rs.
20 crores and above but below Rs. 50 crores and having area to an extent of 6 hectares and above but below 10 hectares (excluding the area provided for parking vehicles and other unutilized/vacant area) Rs. 50 to 60 lakhs CATEGORY E Amusement park having an investment of Rs. 50 crores and above and having area to an extent of 10 hectares and above (excluding the area provided for parking vehicles and other unutilized/ vacant area) Rs. 80 to 100 lakhs
Provided that during the first four-year period of operation of an amusement park, the annual entertainment tax leviable shall be relaxed at the following rates, namely— Period Relaxation of rate of entertainments tax
(a) First year
(b) Second year
(c) Third year
(d) Fourth year Sixty per cent Forty per cent Twenty per cent Ten per cent.
Provided further that the local authority may permit the proprietor of an amusement park to pay the entertainment tax in equated monthly instalments.
Explanation 1: Amusement park means a permanent out door facility set up for entertainment which may include structures and buildings where admission is based on payment.
Explanation 2: For the purpose of this section, in categorizing the amusement park, if both the investment and area of land do not come under any of the above categories, but either the investment or the area comes under any one of the categories, the amusement park shall be assessed in the category to which the higher rate of tax is applicable.
(2) (a) The Government may by notification in the Gazette constitute a committee for the purpose of categorisation of the amusement parks, ensuring the safety of parks and to advise the Government for review of the tax structure every three years.
(b) The Committee shall consist of—
(i) The Secretary to Government, Local Self Government Department — (Urban)—ex-officio;
(ii) The Secretary to Government, Local Self Government Department (Rural)—ex-officio;
(iii) The Secretary to Government, Finance (Expenditure)—ex-officio;
(iv) The Secretary to Government, Tourism—ex-officio;
(v) Chair Person, Mayors' Chamber;
(vi) Chair Person, Municipal Chairpersons' Chamber;
(vii) President, Kerala Grama Panchayath Association;
(viii) Chief Town Planner.
(c) The Committee shall exercise such other functions as may be specifically authorised in this behalf.]