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July brings tragedy to Tamil cinema

  • IndiaGlitz, [Saturday,July 01 2017]

Kollywood is staring at a disastrous month. Starting from July 2, about 800 theatres across Tamil Nadu will shut shop indefinitely to protest against the proposed local body taxes on ticket prices.

To cut a long story short, out of every Rs. 100 that is charged to a cine-goer, only Rs. 36 will go to the distributor-exhibitor-producer trio.

The remaining Rs. 64 vanishes into taxes! GST accounts for Rs. 28, Entertainment Tax accounts for Rs. 30 and other taxes account for Rs. 6.

This insane taxation threatens to ruin the industry's health.

As it's uncertain as to by when the issue will be sorted out, films slated to be released in July are in for trouble.

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