The film has been produced by filmmaker Sanjay Leela Bhansali.
"It is wonderful news. We have a compelling story to tell of a strong, determined woman who has done the nation proud. It is our tribute to all the unsung sports people who give so much to see the Indian flag flying high. If this can act as a catalyst of hope for them, then its something we can all be proud of," Priyanka, who is playing the five-time world champion in 'Mary Kom' said in a statement here.
While Bhansali's spokesperson said the tax free status will encourage audience to recognise and support the spirit of the film.
Based on the true story of Mary Kom, the biopic chronicles the journey of a woman boxer who gave up her sporting career when it was at its peak to embrace the joy of motherhood. After giving birth to two beautiful children, she made her comeback in the ring and went on to become both a stronger woman and a stronger boxer.
Earlier, various state governments including Maharashtra, Bihar, UP and others had granted tax exemption to Farhan Akhtar starrer 'Bhaag Milkha Bhaag', a biopic on legendary athlete Milkha Singh.