GST: The Current Scenario
Currently, movie tickets are taxed differently. Tickets costing up to Rs 100 face a 12% GST, while those above Rs 100 are taxed at 18%. Multiplexes are hoping
to see these rates adjusted to improve the experience for moviegoers across India.
Lowering Ticket Prices
Multiplex chains are proposing that all movie tickets be placed under the lower GST slab of 5%. This move is designed to make the cost of watching a movie more budget-friendly for the average Indian movie-goer, increasing accessibility for everyone.
Boosting F&B and Growth
Executives in the cinema industry are also seeking the inclusion of input tax credit (ITC) on food and beverages. Additionally, they want a single-window clearance system for business licenses. These changes are expected to fuel a 10% annual screen growth.
Ease of Doing Business
Multiplexes are seeking reforms to streamline operations. They believe a single-window clearance process for licenses will significantly boost the ease of doing business. This can lead to faster approvals and facilitate expansion plans throughout the nation.
Future of Cinema
These proposed changes are anticipated to revitalize the cinema industry. By focusing on affordability and operational efficiency, the industry hopes to welcome more people back to the big screen and contribute to the vibrant entertainment landscape of India.
