All theatres in Tamil Nadu will indefinitely stop screening of films from July 3 to protest ‘lack of clarity’ on the tax amount to be levied after the rollout of the GST.
Abirami Ramanathan, president of Tamil Film Chamber of Commerce, said all shows will be cancelled from July 3, Monday. “The state government needs to clarify how much tax will be levied on theatres after GST rollout. We request the state government to sort out the confusion immediately,” he said.
Over 800 theatres in Tamil Nadu will down shutters from Monday. Ramanathan pointed out that the Kerala government had notified that municipalities would not levy tax on top of GST.
Multiplex theatres in Chennai had earlier announced the suspension of online booking facilities for this weekend, mainly to protest lack of clarity on whether the state government would levy entertainment tax apart from the GST. “Some 10 lakh families are depending our sector. If entertainment tax is levied by the state on top of GST, theatre owners will end up paying up to 53 per cent of the ticket rate as tax,” Ramanathan said.