Renting of costume used in water park is not subjected to entertainment tax

Anandi Water Park Resorts And Club Pvt. Ltd. Vs State of UP (Allahabad High Court)

Allahabad High Court held that costume used in the water park would neither fall within the definition of words ‘instrument’ or ‘contrivance’ hence renting on ‘costumes’ cannot be included in the term ‘payment for admission’ as defined under Section 2(l)(iii) of The Uttar Pradesh Entertainment and Betting Tax Act, 1979 and not subject to entertainment tax.

Facts-

The present petition has been filed challenging the order dated 31.08.2010 whereby the entertainment tax of Rs.3,17,378.04/- was imposed in exercise of powers conferred under Section 12 of The Uttar Pradesh Entertainment and Betting Tax Act, 1979 (hereinafter referred to as “The 1979 Act”) along with penalty of Rs.20,000/-. The petitioner also challenges the order dated 21.01.2016 whereby the statutory appeal preferred by him was rejected as well as the order dated 30.03.2017 whereby the application for recall of the appellate order was also rejected.

Conclusion-

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