Anushka Sharma, a prominent Indian actress, and producer, has recently made headlines for allegedly owing a sales tax of 2.8 crores because she is the “first owner of copyrights of performances.” We will examine the specifics of this problem in this article and determine what it means for Anushka Sharma and other entertainers.
According to reports, Anushka Sharma has been served a notice by the Sales Department for not paying the applicable sales tax on the copyrights of performances that she owns. The notice states that Sharma is the ‘first owner’ of these copyrights and is, therefore, liable to pay the sales tax on them. The sales tax is applicable to the amount that Sharma earned by licensing the rights of her performances to others.
What are copyrights of performances?
Before we understand the implications of the notice that Sharma has received, it is important to understand what copyrights of performances are. In simple terms, a performance can be anything that is recorded, such as a film or a play. Copyrights of performances refer to the exclusive rights that a performer has over the recording of their performance. This includes the right to reproduce, distribute, and sell the recording.
Implications of the notice
The notice that Anushka Sharma has received has caused quite a stir in the entertainment industry. Many performers are now wondering whether they too are liable to pay sales tax on the copyrights of their performances. The notice has also raised questions about the legal framework that governs the copyrights of performances.
Legal framework for copyrights of performances
In India, the Copyright Act, of 1957, governs the copyrights of performances. The act provides for the protection of the rights of performers and producers of sound recordings. It also lays down the rules for the licensing of these rights. However, the act does not specify whether performers are liable to pay sales tax on the licensing of their performances.
Anushka Sharma has not yet responded to the notice that she has received. However, this issue has brought to light the need for clarity on the legal framework for the copyrights of performances. The entertainment industry, along with legal experts, needs to come together to understand the implications of the notice and work towards finding a solution.