REPORTING BY PRODUCER OF CINEMATOGRAPHIC FILMS, DOCUMENTARY PRODUCTION, OTT, EVENT MANAGEMENT ETC. UNDER INCOME TAX ACT, 1961

REPORTING BY PRODUCER OF CINEMATOGRAPHIC FILMS, DOCUMENTARY PRODUCTION, OTT,  EVENT MANAGEMENT ETC. UNDER INCOME TAX ACT, 1961

Finance Bill, 2022 has widened the scope of reporting requirement under section 285B of the Income Tax Act, 1961. Earlier the producer of cinematographic films were obliged to furnish within 30 days from the end of the financial year or from the date of completion of the film, whichever is earlier, a statement containing particulars of all payments over Rs. 50,000/- in the aggregate made by him or due from him to each person engaged by him. The Finance Bill, 2022 has now widened the scope of section 285B to include persons engaged in specified activities to expand the reporting requirements in Form 52A. “Specified Activities” would mean event management, documentary production, production of programs for telecasting on television or over the top platforms or any other similar platform, sports event management, other performing arts or any other activity as the Central Government may, by notification in the Official Gazette, specify in this behalf. This amendment will take effect from 1st April 2022.

Note on Clause 84 of Finance Bill 2022: Clause 84 seeks to substitute section 285B of the Income-tax Act relating to submission of statements by producers of cinematographic films. The existing section provides that producers of cinematographic films shall furnish within thirty days from the end of the financial year or from the date of completion of the film, whichever is earlier, a statement containing particulars of all payments over fifty thousand rupees in the aggregate made by him or due from him to each person engaged by him. It is proposed to substitute the said section to provide that any person carrying on the production of a cinematograph film or engaged in any specified activity, or both, during the whole or any part of any financial year shall, in respect of the period during which such production or specified activity is carried on by him in such financial year, furnish within the prescribed period, a statement in the prescribed form to the prescribed income tax authority in the prescribed manner, containing particulars of all payments of over fifty thousand rupees in the aggregate made by him or due from him to each such person as is engaged by him in such production or specified activity. It is proposed to clarify that for the purposes of this section, “specified activity” means event management, documentary production, production of programmes for telecasting on television or over the top platforms or any other similar platform, sports event management, other performing arts or any other activity as the Central Government may, by notification in the Official Gazette, specify in this behalf. This amendment will take effect from 1st April, 2022.

CBDT notified Rule 121A. Form of statement to be furnished by producers of cinematograph films or persons engaged in specified activity and Form N0. 52A Statement to be furnished under section 285B of the Income-tax Act, 1961 by a person carrying on production of a cinematograph film or engaged in specified activity or both vide Notification No. 109/2022-Income Tax,  dated 14th September, 2022 as under:

             MINISTRY OF FINANCE

               (Department of Revenue)

              (CENTRAL BOARD OF DIRECT TAXES)

         New Delhi

Notification No. 109/2022-Income Tax | Dated: 14th September, 2022

G.S.R. 697(E).––In exercise of the powers conferred by section 285B read with clause (mma) of sub-section (2) of section 295 of the Income-tax Act, 1961 (43 of 1961), the Central Board of Direct Taxes hereby makes the following rules further to amend the Income-tax Rules, 1962, namely:-

1. Short title and commencement- (1) These rules may be called the Income-tax (30th Amendment) Rules, 2022.

(2) They shall come into force from the date of publication in the Official Gazette. 2. In the Income-tax Rules, 1962 (hereinafter referred to as the principal rules), for rule 121A, the following rule shall be substituted, namely:-

2. In the Income-tax Rules, 1962 (hereinafter referred to as the principal rules), for rule 121A, the following rule shall be substituted, namely:-

“121A. Form of statement to be furnished by producers of cinematograph films or persons engaged in specified activity.- 

(1) The statement required to be furnished under section 285B by a person carrying on production of cinematograph film or engaged in specified activity, or both, shall be in Form No. 52A for each previous year.

(2) Form No. 52A shall be furnished within sixty days from the end of the previous year.

(3) For the purpose of section 285B, the prescribed authority shall be the Principal Director General of Income-tax (Systems) or the Director General of Income-tax (Systems), as the case may be, or any person authorised by the Principal Director General of Income-tax (Systems) or Director General of Income-tax (Systems).

(4) Form No. 52A, shall be furnished electronically,—

(i) under digital signature, if the return of income is required to be furnished under digital signature;

(ii) through electronic verification code in a case not covered under clause (i).

(5) The Principal Director General of Income-tax (Systems) or Director General of Income-tax (Systems), as the case may be, shall,––

(a) specify the procedures, formats and standards for the purposes of furnishing and verification of Form No. 52A;

(b) be responsible for the day-to-day administration in relation to furnishing and verification of Form No. 52A; and (c) be responsible for formulating and implementing appropriate security, archival and retrieval policies in relation to Form No. 52A.

(6) The Principal Director General of Income-tax (Systems) or Director General of Income-tax (Systems), as the case may be, or any person authorised by the Principal Director General of Income-tax (Systems) or Director General of Income-tax (Systems) shall forward Form No. 52A to the Assessing Officer.

Explanation: For the purposes of this rule, “specified activity” shall have the same meaning as assigned to it in the Explanation to section 285B of the Act.

3. In the principal rules, in Appendix II, for Form No. 52A, the following Form shall be substituted, namely:-

FORM NO. 52A

[See rule 121A]

Statement to be furnished under section 285B of the Income-tax Act, 1961 by a person carrying on production of a cinematograph film or engaged in specified activity or both

Details of the producer of a cinematograph film / person engaged in specified activity	Name
	Status
	Residential status
	Permanent Account

 

Number or Aadhaar number (if applicable)

Tax Deduction Account Number

Tax Collection Account Number

Address

Relevant previous year for which the statement is being furnished

Number of cinematograph films / specified activity undertaken   during    the previous year

Cinematograph films produced

Specified activity undertaken

PART-A: Details of each cinematograph film produced or specified activity undertaken during the previous year (In case of production of multiple cinematograph films or engagement in multiple specified activities during the year, provide details in Part-A and Part-B for each film/specified activity separately):

Name of the film or specified activity

Nature of the film*

Celluloid film

Other than celluloid film

Nature of specified activity*

Event management

Sports event management

Documentary production

Production of programmes for telecasting on television or over the top platforms or any other similar platform

Other performing arts

Any other notified activity (please specify)

Date of starting of production of cinematograph film or commencement of specified activity**

Whether the cinematograph film or specified activity was completed in the previous year

Yes

No

If yes, date of completion of production of cinematograph film or specified activity**

PART-B: Details of payments of over Rs. 50,000 in the aggregate made by the person carrying on production of cinematograph film or engaged in specified activity, or due from him to each person engaged in the production of the cinematograph film or specified activity:

S. No.

Name

Address

PAN or Aadhaar number (if applicable)

Name of the film or specified activity to which the payment relates***

Amount paid/due(in Rs.)

If tax deducted at source, then provide:

Paid in cash

Paid other than cash

Amount due

Total

Amount of tax deducted (in Rs.)

Section under which TDS is deducted/ deductible

*dropdown to be provided

**in dd/mm/yyyy format

***dropdown to be provided from Part-A [―Name of the film or specified activity‖]

THE GAZETTE OF INDIA : EXTRAORDINARY

Verification

I ………………., do hereby declare that what is stated above is true to the best of my knowledge and belief. Verified today, the day of………….

Place: Date:

Signature of the Authorised Signatory.‖

[Notification No. 109/2022/F. No. 370142/ 44/2022-TPL]

MRINALINI KAUR SAPRA, Director

 

 

 

 

 

 

 

Note : The principal rules were published in the Gazette of India, Extraordinary, Part-II, Section 3, Sub-section (ii) vide notification number S.O. 969 (E), dated the 26^th March, 1962 and was last amended vide notification number G.S.R. 677(E) dated 1.9.2022.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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