HYDERABAD: A team of Income Tax (I-T) officials from Mumbai on Wednesday surveyed a Tollywood film production house over allegations of violating Reserve Bank of India (RBI) guidelines and non-payment of Goods and Service Tax (GST) dues.
Officials surveyed four locations linked to the production house, including the residences of the management head and a top producer’s. The production house has reportedly earned Rs 700 crore from less than 10 films it has produced since its inception in 2015. Sources said the production house is being surveyed because officials suspect that RBI guidelines weren’t followed and the management didn’t pay GST dues either. However, the Mumbai I-T sleuths maintained that it was a survey and not a raid.
Sources said the sleuths went through the papers containing details of the finances and profits and the related I-T and GST filings. Owing to the survey, the ongoing shoots of the production houses have been temporarily stopped, sources added.
Violation of RBI norms, non-payment of GST dues
Sources said the production house concerned had earned about Rs 700 crore since 2015, but officials suspect that RBI guidelines weren’t followed and the management didn’t pay GST dues