‘Abirami’ Ramanathan, president of South Indian Film Chamber, has said that it has been decided to close down all theatres and multiplexes in the State from tomorrow (Monday, the 03rd July) to protest against the new GST tax regime.
GST, a uniform tax regime across the country, took effect from the early hours of 01st July under which tickets in cinema halls up to Rs.100 would be levied with 18% tax while those beyond Rs.100 have been levied with a heavy 28%. The State also plans to collect 30% as entertainment tax which would impose huge burden on theatres to fix ticket prices under the new tax regime.
“Govt. hasn’t said anything clear about whether to collect GST along with entertainment tax; it should be done away with as in Kerala, Karnataka and Andhra Pradesh. If our request is not acceded to, we have no other option other than closing down theatres,” he said. “Tax range of 58%-62% is something unfathomable for any industry,” he added.
“We would be left with the only choice of increasing the fares to a huge extent. We would be closing down theatres in the State from Monday (03rd July) onwards to protest against the GST tax slab for theatres,” Ramanathan informed.