Karnataka High Court seeks explanation for 2% movie ticket cess
The Karnataka High Court has asked the state to explain why a 2% tax (called a cess) was suddenly added to movie tickets.
This move, under the Karnataka Cine and Cultural Activists (Welfare) Act, 2024, has PVR INOX and the Multiplex Association of India, an association, pushing back.
They're challenging an August 29 circular that told theaters to start collecting this extra charge from September 1.
Owners contend cess lacks legal notification
Theater owners say the cess isn't legal yet because there's been no official notification to actually start the law, so collecting it now doesn't make sense.
They're also questioning changes made in 2026 and argue that another law already covers welfare for cine workers.
The court will first check if this Act is even in force before deciding anything else, with the case posted for hearing on Thursday.