With GST (Goods and Services Tax) coming into effect from July 1, there’s a lot of speculation about how it’s going to take a toll on the industry. While the GST has been restricted to 18% for tickets priced upto Rs 100, it’s a whopping 28% of ticket prices above that.

Moreover, a Government order has been issued to increase the ticket rates in multiplexes by Rs 50. So, the tickets which earlier used to cost Rs 150 will now cost Rs 200. There has also been an increase in ticket prices in single screen theatres.

Owing to all these changes, several members from the film fraternity are said to have met the Minister for Cinematography and urge him to adapt a policy which Kerala and few other state governments have planned to implement. According to this policy, the state government will not collect any local taxes and only GST will be levied on the ticket prices, which will bring the prices down.

It remains to be seen if the Telangana government will accept the suggestions from the film industry. A clear picture is likely to emerge soon.

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