Movie Artists Association (MAA) had intensified its fight against Government regarding the imposing of Service tax on movies. The new taxation policy levied 12.36 percent tax on every one involved in movie making and trade. MAA has been opposing this tax from a long time and even shut down the industry for a whole day earlier this month protesting this new policy. However, Government seem to be unmoved by any of these actions.
MAA President Murali Mohan went a step ahead and threatened to stop film productions. He pointed out that this new policy is only adding to the burden of the already overburdened producers in Tollywood. The film industries of Tamil Nadu, Karnataka and even Bollywood have united to pressurize the Government.