TN theatres shutdown indefinitely in protest against tax levy in GST

TN theatres shutdown indefinitely in protest against tax levy in GST

TN theatres shutdown indefinitely in protest against tax levy in GST
More than 1,000 movie theatres including multiplexes in Tamil Nadu were downed the shutters from Monday morning following the indefinite strike called by the Film Chamber of Commerce (FCC) protest against the tax levy in Goods and Services Tax (GST).
 
FCC president Abirami Ramathan said that all the movie halls will be closed indefinitely till the government clarifies the tax structure for the theatre owners after the implementation of GST.
 
Ramanathan also met the Chief Minister Edappadi K Palaniswami and finance minister D Jayakumar and submitted a memorandum seeking explanation from the State Government about the issue.
 
The federation claims that the State government is planning  to collect municipal taxes separately for cinema halls after the implementation of GST. After the GST launch, theatres which sell tickets below Rs 100 should pay 18 per cent tax and theatres, especially multiplexes which sell tickets above Rs 100, should pay 28 per cent tax.
 
Ramanathan said that if the state government imposes local taxes, the theatre owners have to pay more than 50 per cent of the ticket rate as tax (inclusive of GST) to the authorities.
 
"It will be viable to pay huge tax as it would surely affect the livelihood of more than 10 lakh families associated with the industry", said Ramanathan. As the cinema theatres were closed, the online booking of tickets were also stopped from July 1.
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