The Andhra state government had taken a decision to scrap the VAT (Value Added Tax) on films. It is worth mentioning here that the film industry circles had been demanding the scrapping of VAT for the past some time and the State Producers Council and the State Film Federation had met the Chief Minister several times and submitted memorandums.

The Chief Minister positively responded to those representations recently and agreed to scrap the VAT on films recently. As per the available information, government orders to this effect would be released soon.
Several producers who met the Union minister and Mega Star Chiranjeevi at his recently thanked him in this regard. Those who met Chiranjeevi include Tammareddy Bharadwaja, T Prasanna Kumar, Sravanti Ravi Kishore, BVSN Prasad, C Kalyan, Nallamalupu Bujji, Kotali Venkateswara Rao and Paruchuri Prasad and others.