Movie industry to demand lower GST rates, removal of local taxes
An Assocham-PwC report on the ‘Impact of GST on Movie Industry’ has urged the government to decrease the rate of tax on movie tickets and do away with local taxes.
Published: 22nd June 2018 02:10 AM | Last Updated: 22nd June 2018 06:54 AM | A+A A-
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HYDERABAD: An Assocham-PwC report on the ‘Impact of GST on Movie Industry’ has urged the government to decrease the rate of tax on movie tickets and do away with local taxes.
As per the existing rate structure, GST of 18 per cent is levied on movie tickets costing up to Rs 100 and 28 per cent on tickets costing more.
This is in addition to local taxes levied by various local bodies, which the industry has been complaining against stating that they were exorbitant and burdensome.
With the first anniversary of GST rollout approaching, stakeholders from the sector are gearing up to represent to and put pressure on the government to decrease the tax rate.
“Taxing movie tickets costing above Rs 100 at 28 per cent, on par with luxury goods, is an injustice, as movies are the main entertainment source for the common man in India. Besides, increased tax rates, in some states like Tamil Nadu and Maharashtra there are also local taxes levied by urban bodies,” said K V Rao, chairman of the ASSOCHAM National Council on Media and Entertainment and director of Sri Sarathi Studios.
“The burden of GST,” he added, “has been even more in southern states.”
