New Challenge For Tollywood Producers: Crores Of Penalty

The film producers are almost always at risk while making big money projects. They invest crores of rupees into the production of films and the remuneration of the main heroes. And on top of that, they also have to pay GST and other related taxes to the government.

Coming to the topic, now, we are hearing that a couple of Tollywood producers are caught neckdeep in trouble due to these taxation slabs.

As per reports, popular producer who lost big money while making a film with a young hero is now caught in the midst of a tax issue. Apparently, he did not provide adequate documentation regarding the production of his earlier film, and this has now invited a hefty fine from the concerned department.

Apparently, this producer was asked to pay tens of crores in tax evasion penalty. While he is already struggling to release his new film, this humongous tax penalty that has been enforced on him has left him in deep trouble.

Then we have another leading producer, who has been in fine for lately. He even has a big film with a big superstar aligned for release in 2025. However, he too has been caught in this taxation storm. The concerned department has find him several crores over tax evasion claims.

Shockingly, not one, but two leading producers in Telugu cinema have been hit by this tax storm and they are having to sell out crores of rupees in penalties.

Back in the day, there was this culture when producers had the opportunity to negotiate with the department and come out by paying nominal fines and penalties. But now the tax departments are mandating upfront payment of the penalty amount, and only then are they listening to the plights of the men involved