Bombay HC rejects GST case: cinema is not software

The Bombay High Court quashed GST demands against Dharma Productions worth over Rs 12 crore, ruling that a cinematographic film delivered digitally is not 'information technology software' and cannot be taxed at 18% instead of 12%. The court held that the mode of delivery cannot determine tax classification.

• Court quashed GST demands against Dharma Productions exceeding Rs 12 crore
• Dispute covered 12% vs 18% rates for FY 2017–18 to 2020–21
• Court: a film lacks interactivity and is not IT software
• Both rates were merged into a single 18% from October 1, 2021