It was only a few days ago that the Tamil Film Producers Council had sent a request for changes in the Central Government's Goods and Service Tax (GST) regime as they feared a high GST would affect the entire film industry. However, now the Finance Ministry has announced that from July 1, GST of 28% will be implemented on cinema tickets throughout the country.

Sources say that most of the Tamil films have enjoyed the tax exemption provided by Tamil Nadu but from July 1, things will be different and producers have to adapt themselves to survive in the industry.

Several Tamil films are set to be released before July 1 to enjoy the tax exemption benefit offered by the Tamil Nadu government.

SR Prabhu, Treasurer of the Tamil Film Producers Council, who also produced the National-award-winning Tamil film Joker tweeted "#GST will redefine the way #filmIndustry has been working. We must adopt ourselves asap. Else we will be pushed another 5 yrs behind."

Trade pundits feel that GST will be an advantage for Hollywood and Bollywood films but it will badly affect regional films as the 28% tax will be a huge burden for producers.

We also hear that the ticket prices will be increased in multiplexes and the same can be expected in rural and small town theaters.