The draft of the following rules further to amend the Karnataka Entertainments Tax Rules, 1959 which the Government of Karnataka proposes to make in exercise of the powers conferred by section 18 of the Karnataka Entertainments Tax Act, 1958 (Karnataka Act 30 of 1958) is hereby published as required by sub-section (1) of section 18 of the said Act for the information of all persons likely to be affected thereby and notice is hereby given that the said draft will be taken into consideration after fifteen days from the date of its publication in the official Gazette.

Any objection or suggestion, which may be received by the State Government from any person with respect to the said draft before the expiry of the period specified above, will be considered by the State Government. Objections or suggestions may be addressed to the Principal Secretary to the Government, Finance Department, Vidhana Soudha, Bangalore – 560 001.

1.	Title and commencement.-
	(1)	These rules may be called the Karnataka Entertainments Tax (Amendment) Rules, 2011.
	(2)	They shall come into force from the date of their publication in the Official Gazette.
2.	Omission of Part II.-
	In the Karnataka Entertainments Tax Rules, 1959 (hereinafter referred to as the said rules), Part II and rules 4 and 5 therein shall be omitted.
2.	Insertion of new Part VI-B.-
	After rule 41-G of the said rules, the following shall be inserted, namely:-
Part VI-B.
Furnishing of information, etc. by specified class of proprietors
41-H.	(1)	Every proprietor of Cinema theatre belonging to specified class notified by the Commissioner under sub-section (1B) of section 6a, other than the proprietor opting for payment of tax under section 4A, required to furnish particulars of cinematograph shows conducted by him shall apply in the website notified by the Commissioner within such time as may be specified in such notification or within fifteen days before the first cinematograph show, as the case may be for grant of permit through online / website.
	(2)	On receipt of such application, in cases where security is not fixed under sub-rule (1) of rule 18, the Entertainments Tax Officer shall grant the proprietor a permit in Form IV, if not already granted, through online / website.
	(3)	The amount of security shall be fixed and shall be specified under sub-rule (2) of rule 18.
	(4)	Notwithstanding anything contained in these rules, such specified class of proprietor applied through online / website shall be permitted to issue tickets in Form IV-A without authentication by the Entertainments Tax Officer: Provided that the Entertainments Tax Officer for good and sufficient reasons, may after giving the proprietor a reasonable opportunity of being heard, direct any proprietor to submit tickets proposed for issue as specified under rule 17 for authentication by him as specified under rule 19.
	(5)	Every specified class of proprietor so permitted shall enter in Form II, the details of payments received fro admission separately for each cinematograph show soon after the close of the issue of the tickets for such show, but in any case, not later than sixty minutes of the scheduled time for the commencement of the show and immediately thereafter also enter such details in the website notified by the Commissioner and submit proof of such entry, as generated from the website, along with the return in Form II-B specified under sub-rule (1) of rule 29-E to the Entertainments Tax Officer. Provided that the Entertainments Tax Officer may permit a proprietor to submit the details of payments received for admission, separately for each cinematograph show immediately after their entry in the register in Form II, instead of entering the same in the notified website, by text message to the telephone number as may be communicated to him by the Entertainments Tax Officer and submit proof of such entry, as generated from the text messaging service, along with the return in Form II-b specified under sub-rule (1) of rule 29-E to the Entertainments Tax Officer.
	(6)	The specified class of proprietor so permitted, shall display, a notice at each entrance to the auditorium requesting the patrons to demand the original portion of the tickets issued to them and keep the dame in their custody till the show is over.
41-I.-	(1)	Every proprietor of a cinema theatre belonging to specified class notified by the Commissioner under sub-section (1-B) of section 6A opting for payment of tax under section 4A and who is required to furnish particulars, of cinematograph shows conducted by him, shall apply, in the website notified by the Commissioner and within such date as may be specified in such notification or within fifteen days before the first cinematograph show, as the case may be.
	(2)	On receipt of such application, in cases where security is not fixed under sub-rule (2) of rule 41-B, the Entertainments Tax Officer shall fix the amount and nature of the security to be furnished by the proprietor and the time within which security shall be furnished, and on furnishing of such security, the Entertainments Tax Officer shall issue permit to the proprietor in Form VI-B through online / website.
	(3)	The amount of security shall be fixed and shall be specified under sub-rule (2) of rule 41-B.
	(4)	The Entertainments Tax Officer shall grant the proprietor a permit in Form VI-B, if not already granted, specifying the gross collection capacity of the theatre and the amount of tax and additional tax on cinematograph shows payable by the proprietor in respect of every show held by him.
	(5)	After the determination of gross collection capacity of a cinema theatre for the purpose of section 4-A, no change or modification either in the number of seats or accommodation or in the rates of payment for admission to such theatre shall be made unless the proprietor has given fifteen days notice thereof to the prescribed authority and until the gross collection capacity is redetermined, the proprietor shall pay tax as previously fixed.
	(6)	Every specified class of proprietor so permitted under sub-rule (2) shall maintain a register in Form X-B which shall be in books each containing one hundred leaves and serially machine numbered, showing the details of number of tickets issued in Form IV-B for each cinematograph show which shall be entered soon after the close of the issue of the tickets for such show, but in any case, not later than sixty minutes of the scheduled time for the commencement of the show and immediately thereafter also enter such details in the website notified by the Commissioner and submit proof of such entry, as generated from the website, along with the return in Form X-A specified under sub-rule 41-C to the Entertainments Tax Officer: Provided that the Entertainments Tax Officer may permit a proprietor to submit the details of number of tickets issued for each cinematograph show immediately after their entry in the register in Form X-B, instead of entering the same in the notified website, by text message to the telephone number as may be communicated to him by the Entertainments Tax Officer and submit proof of such entry, as generated from the text messaging service, along with the return in Form X-A specified under sub-rule 41-C to the Entertainments Tax Officer.
	(7)	Notwithstanding anything contained in these rules, a specified class of proprietor so permitted under sub-rule (2) unable to conduct any of the shows permitted to be conducted by him under the Karnataka Cinemas (Regulation) Act, 1964 may, not later than sixty minutes of the scheduled time for the commencement of such show, declare such fact in the website notified by the Commissioner and submit proof of such entry, as generated from the website, along with the return in Form X-A specified under sub-rule (1) of rule 41-C to the Entertainments Tax Officer: Provided that the Entertainments Tax Officer for good and sufficient reasons, may after giving the proprietor a reasonable opportunity of being heard, direct any proprietor to produce certificate in Form X-C as prescribed under sub-rule (2) of rule 41-C.
	(8)	The specified class of proprietor, shall display,- (a) a board indicating the number of seats in each class and the rate of admission for each class; and (b) a notice at each entrance to the auditorium requesting the patrons to demand the original portion of the tickets issued to them and keep the same in their custody till the show is over."
4.	Omission of Part XI
	Part XI of the said rules and rule 59 therein shall be omitted.
5.	Omission of Form II-BB.-
	Form II-bb of the said rules shall be omitted.
6.	Amendment of From X-B.-
	In Form X-B of the said rules.-
	(1)	for the brackets, words, figures and letter "[See rule 41-C(5)]", the brackets, words, figures and letter "[See rule 41-C(1)]" shall be substituted;
	(2)	for the words "Name of the film", the words "Name and language of the film" shall be substituted.