Cinepolis India — Illegal Levy of VAT on food & beverages

Address:	Ludhiana, Punjab
Website:	www.cinepolisindia.com/Default.aspx

Food Products 1. Bill cash memo of purchase : C.N. No.888856 2. Date of Purchase : 04.10.2015 3. Name of Product/Brand Name : unpacked Food & Beverages 4. Name & Address of Seller: C. Ludhiana, 2nd Floor, MBD Cinepolis, Ludhiana, Punjab 141012 I would like to submit that the below mentioned taxpayer is engaged in VAT violations by unauthorised collection of excess VAT from the consumers @ 30.25% instead of 14.30% as mandated by Punjab Value Added Tax, 2005. The seller is a cinema multiplex - Cinepolis India Pvt Ltd having TIN NO. [protected]. The taxpayer sells food products, soft drinks and other beverages covered under VAT Schedule-F of the Act which mandates charging of VAT @ 13% (excluding surcharge). I purchased food beverage and food items from the multiplex on 04.10.2015 and found to my horror that it is illegally charging VAT @ 30.25% which is unusually excessive and in clear violation of the Act. Even if we add 10% surcharge the vat rate comes to be 14.30% and not 30.25%. I have the original invoice with me as proof. When confronted with the issue, the manager submitted that this is an industry practice and everybody else does it. The cinema owner is openly flouting legal norms and looting innocent consumers every day. Details of Invoice : Food Combo(Nachos+Popcorn) for Rs. 390/- VAT @ 30.25% Rs. 117.98/- Amount Rs. 507.98/- Cheese Sauce Rs. 20/- Vat @14.30% Rs. 2.86/- Amount Rs. 22.86/- Total Invoice Amount Rs. 530.84 No valid reasoning was given for the differentiation here in tax rate of 14.30% and 30.25%