Chennai sources have stated that around 1,000 cinema houses in Tamil Nadu have cancelled screenings against the imposition of 30% local body tax apart from additional tariffs under the new GST regime. Meanwhile president of the association, Abirami Ramanathan said "Though the Tamilnadu Film Exhibitors Association had decided on Friday to cancel shows from July 3, many theatres shut down by yesterday".
Meanwhile when speaking to reporters here, Ramanathan, who is also chief of the Tamil Film Chamber of Commerce, said theatres were shut due to "their inability to pay (taxes) and their move is not against the government." He had also urged the government to immediately scrap the local body tax of 30% by saying that such a move would automatically take away the additional levy of 8% under GST.
Ramanathan said ten lakh people are dependent on the film industry to make
their livelihood. He added that only in India cinema theatre have no rights to
fix ticket prices. They are closing since there is no other way out.
