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Tamil Nadu theatres to remain shut to protest against GST

02 Jul 2017 | By Roma Das
GST row: Theatres in TN to remain shut

Recently, the Tamil Nadu Theatre Owners Association had taken to protest against Goods and Services Tax (GST) and as a mark, it decided to shut down the multiplexes starting from 3rd July.

The indefinite strike called by theatre owners is against the imposition of 30 percent local body tax in addition to GST.

Multiplexes withheld advance bookings for Monday since the GST roll-out.

In context: GST row: Theatres in TN to remain shut

02 Jul 2017Tamil Nadu theatres to remain shut to protest against GST

16 Jul 2017Post GST, sale of movie tickets goes down in TN

Post GST, theatre owners in Tamil Nadu have reported a 30% drop in the sale of tickets.

Theatre owners said that since GST came into effect, movie ticket's price below Rs. 100 has increased by 18% and that above Rs. 100 has increased by 28%.

They said that basic requirements like clothes, food has become more expensive, thereby making movie outings the last priority.

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Big movies will determine impact of GST: Theatre owners

Theatre owner's speakBig movies will determine impact of GST: Theatre owners

Tamil Nadu Cinema Theatre Owners Federation president Abirami Ramanathan said that there is a decrease in the sale of movie tickets across Tamil Nadu but only a big movie will help gauge the impact of GST.

Following the GST implementation, the price of the balcony ticket rose from Rs. 60 to Rs. 80 and stall ticket from Rs. 80 to Rs. 100 in theatres.

Ticket prices after GST

The GST council has fixed the rate for movie tickets under two categories- one under the tickets costing over Rs. 100, the tax levied will be 28 percent and the tickets costing below Rs. 100, will have 18 percent tax levied.

Close lookWhat do theatre industry insiders have to say

The Tamil Nadu Theatre Owners Association joint secretary S Sridhar explained that if the entertainment tax is added to GST, theatre owners will be forced to pay 53% of ticket rate as tax to the government which would not be feasible for the industry.

Explaining the numbers further, he added that theatre owners would get only Rs. 12.3 per ticket which is inadequate.