The 30% tax exemption helps distributors in recovering their huge investments.

Udhayanidhi Stalin accuses TN govt of favouritism towards Sasikala family-linked Jazz Cinemas Facebook/ Udhayanidhi Stalin
news Entertainment Monday, August 22, 2016 - 11:10

Producer and actor Udhayanidhi Stalin, who is also the son of DMK Treasurer MK Stalin accused the Tamil Nadu government of showing favouritism to films that sold the theatrical rights for the city of Chennai to Sasikala family-linked Jazz Cinemas by giving them an entertainment tax exemption.

Udhaynidhi Stalin took to twitter to make the accusation. 

Jazz Cinemas reportedly belongs to VK Sasikala’s family members.

Since 2006, the state government has been giving an entertainment tax exemption to films with a “U” certificate and having a Tamil title and for promoting Tamil culture. The 30% tax exemption helps distributors in recovering their huge investments.

Recently, superstar Rajinikanth’s blockbuster “Kabali” received the entertainment tax exemption from the Tamil Nadu government. “Kabali’s” theatrical rights in Tamil Nadu was reportedly acquired by Jazz Cinemas for a record price. 

The Tamil film industry is highly politicised with both the Dravidian parties, the DMK and the AIADMK having deep roots within the film industry. There were several complaints of DMK-linked production and distribution houses monopolising the film industry when it was in power.

While Sun Pictures belongs to Maran brothers, Udhayanidhi Stalin is the owner of Red Giant Movies, a production and distribution house and Cloud Nine belongs to Dhayanidhi Azhagiri, grandson of DMK Chief MK Karunanidhi.

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