With the Lok Sabha today passing a bill to allow the Chandigarh Municipal Corporation to levy entertainment tax, movie tickets are set to get costlier. This tax will be in addition to the 28 per cent GST already imposed on cinemas.
Hailing the decision, city Mayor Asha Jaswal said it would increase the revenue of the MC, which would be used for developmental works.
She said she would call a meeting of officers soon and a detailed proposal for the tax would be placed before the House for approval. Sources said once the tax was imposed, the movie industry would have to pay 58 per cent tax, which would lead to an increase in the rate of tickets for film-goers.
Officials of multiplexes opposed the tax saying it would ruin the entertainment industry. A multiplex official said if the tax was imposed, it would put extra burden on movie-goers. Rajni, a movie buff and student, said she could not afford to pay extra for the tickets.
Ajay Jagga, an advocate, requested the government to review the decision as it would render the movie tickets beyond the reach of the common man. Movie tickets were subject to two taxes, which was arbitrary and not as per the Constitution, he said. At present, movie tickets in multiplexes cost between Rs 150 and Rs 650 and vary on weekdays and weekends