How GST plus entertainment tax combo hits theatres

July 04, 2017 10:07

As many cinema theatres across Tamil Nadu shut down to protest the imposition of 28 per cent GST on top of the 30 pc entertainment tax levied by the state government, the deserted Mani's theatre in Peelamedu, Coimbatore, is proof of how movie halls have been affected in the aftermath of the new tax regime kicking in.

Five employees are already out of their jobs, with the theatre forced to cut costs in the face of movie-goers' reluctance to pay higher fare.

Among the ones affected is Chelliah, who runs a small hotel next door. The burly man's huge moustache was drooping when he said, "Four shows a day meant at least 50 customers for me. Now I barely get 10."

-- A Ganesh Nadar

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