GST: Theatres in TN to remain shut today

Will sort out issue soon, says T.N. govt.

July 03, 2017 11:09 pm | Updated December 03, 2021 12:50 pm IST - Chennai

The Tamil Nadu Film Chamber of Commerce has announced a shutdown of theatres across Tamil Nadu from July 3 because of lack of clarity on the tax that will be levied over and above the GST. A scene at Sathyam Cinemas in Chennai on Monday.

The Tamil Nadu Film Chamber of Commerce has announced a shutdown of theatres across Tamil Nadu from July 3 because of lack of clarity on the tax that will be levied over and above the GST. A scene at Sathyam Cinemas in Chennai on Monday.

Tamil film industry representatives have announced that cinema halls in Tamil Nadu would continue their protest on Tuesday against the State government’s decision to levy a tax of 30% by local bodies in addition to the 28% Goods and Services Tax (GST) that came into effect on July 1. The State government has asked for another day to sort out the issue.

The strike announcement would mean that some 1,127 screens would remain shut on the second day as well. Representatives from the Nadigar Sangam, the Tamil Film Producers Council and the Tamil Nadu Theatre Owners and Distributors Association met Tamil Nadu Chief Minister Edappadi K. Palaniswami demanding a rollback of the 30% local tax announced by the State government.

Actor Vishal said though the State government officials have sought another day to look into the issue the strike would continue on Tuesday as well.

 

The actor said that they would once again meet with relevant officials on Tuesday evening.

Most of the theatre owners sought to clarify that this was not a protest against GST, but was against the State government’s decision to levy excessive taxes crippling the business climate.

M. Subramaniam, president, Cinema Owners Association (western region), said, “We are ready to pay the 28% tax under the GST regime. The problem is with the 30% entertainment tax already being slapped by the local bodies, which takes the cumulative tax to 58%.”

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