Studios accused of under-reporting commercial area and evading lakhs in trade license fees
Hyderabad, November 21, 2025 – The Greater Hyderabad Municipal Corporation (GHMC) has issued notices to Annapurna Studios owned by Tollywood star Nagarjuna and Ramanaidu Studios, owned by actor Venkatesh, demanding payment of full trade license fees.
GHMC Circle 18 officials have identified that both studios have been paying significantly less in trade license fees by under-reporting their actual commercial area, resulting in massive tax evasion.
Annapurna Studios: Rs.11.52 Lakh Due
According to GHMC officials, Annapurna Studios operates across 1.92 lakh square feet of commercial space but has been showing only 8,100 square feet for tax purposes.
The studio should be paying Rs.11,52,000 in trade license fees but has been paying only Rs.49,000, evading over Rs.11 lakh in taxes.
Ramanaidu Studios: Rs.2.73 Lakh Due
Similarly, Ramanaidu Studios operates across 68,000 square feet but has been reporting only 1,900 square feet for tax calculation purposes.
Officials revealed that the studio should be paying Rs.2,73,000 (later corrected to Rs.1,92,000 in another account) but has been paying merely Rs.1,900 (later stated as Rs.7,600), evading approximately Rs.2.65 lakh in trade license fees.
Notices Issued on November 21
GHMC Jubilee Hills Circle officials issued notices to both studios on November 21, warning them to pay the full trade license fees based on their actual commercial area.
Officials stated that both establishments have been showing significantly reduced business area to evade taxes on a large scale.
Background
Trade license fees are calculated based on the commercial area being used for business activities. By under-reporting their actual operational area, both studios have allegedly been evading substantial amounts in municipal taxes over the years.
The GHMC’s action comes as part of a broader drive to identify commercial establishments that are under-reporting their business area and evading taxes. The civic body has been conducting surveys to verify actual commercial spaces versus declared areas.
Both studios are among Hyderabad’s most prominent film production facilities, regularly hosting major film shoots, events, and commercial activities across their extensive premises.
The studios are now required to respond to the notices and pay the outstanding trade license fees along with any applicable penalties.