Distributor / Theater collection calculation and accounting No matter how the agreement and deals are put in order, accounting of collection lies on statistics of no of tickets in the theater, show-wise price of tickets, etc. To track, collect, record and verify this data, the distributor would send an agent from his side to every theater along with the print. This agent is called ‘Representative’ of the distributor. Representatives are paid salary of Rs.100.00 per day. He also stays in the theater till the movie run ends there. Some big names in distribution arrange the stay for them at nearby lodges too. Representative’s job is to note down the ticket’s starting serial number for each denomination when the ticket sale starts at the box office. Once the sales booth is closes, he would also note down the closing serial number of ticket book. Immediately he would inform the number of tickets sold, with their rate, to the distributor over telephone. Beside this, the theater manager publishes the collection data through the ‘Daily Collection Report’, also called DCR every week. The DCR and the representative’s report must match up with each other. 99% they do. Based on the DCR, daily gross collection and net collection post tax deduction, etc are worked out. At times, these representatives and theater employees join hands and counterfeit the ticket sales data. At times like these, when in doubt, the distributors would do surprise audits and cross checks and the alliance would be caught red handed too. So, how does the trickery happen here? Cheating is possible to replace tickets with coupons or even permitting entry in to theater without ticket. A coupon is an entry token without any tariff or entry fee printed on it. In theaters, issuing coupons in the place of tickets facilitates tax cheating. Though these theaters cheat the government by evading tax, distributors have great respect for these theaters as long as they are trustworthy with them. No matter how the agreement and deals are put in order, accounting of collection lies on statistics of no of tickets in the theater, show-wise price of tickets, etc. To track, collect, record and verify this data, the distributor would send an agent from his side to every theater along with the print. This agent is called ‘Representative’ of the distributor. Representatives are paid salary of Rs.100.00 per day. He also stays in the theater till the movie run ends there. Some big names in distribution arrange the stay for them at nearby lodges too. Representative’s job is to note down the ticket’s starting serial number for each denomination when the ticket sale starts at the box office. Once the sales booth is closes, he would also note down the closing serial number of ticket book. Immediately he would inform the number of tickets sold, with their rate, to the distributor over telephone. Beside this, the theater manager publishes the collection data through the ‘Daily Collection Report’, also called DCR every week. The DCR and the representative’s report must match up with each other. 99% they do. Based on the DCR, daily gross collection and net collection post tax deduction, etc are worked out. At times, these representatives and theater employees join hands and counterfeit the ticket sales data. At times like these, when in doubt, the distributors would do surprise audits and cross checks and the alliance would be caught red handed too. So, how does the trickery happen here? Cheating is possible to replace tickets with coupons or even permitting entry in to theater without ticket. A coupon is an entry token without any tariff or entry fee printed on it. In theaters, issuing coupons in the place of tickets facilitates tax cheating. Though these theaters cheat the government by evading tax, distributors have great respect for these theaters as long as they are trustworthy with them.