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TN to cut entertainment tax by two per cent

TN to cut entertainment tax by two per cent

The Tamil Nadu government has made a decision to reduce the entertainment tax from 10 percent to 8 percent, Tamil Nadu Film Producers Council (TFPC) president Vishal announced after his meeting with government officials over the issue of double taxation and ticket price hike. However, after negotiating with Chief Minister Edappadi Palaniswami on Friday, the producers' guild settled for 8 percent local body tax. With this the long pending local body entertainment tax and GST issue has been solved.

According to a report on CNBC-TV18, the state of Tamil Nadu more than halved the entertainment tax to 8 percent from its existing 19 percent. The 20 percent local body tax on non-Tamil films, however, is still in place. "To which they said it was under consideration", TFPC President Vishal told the media after the meeting with the chief minister. The maximum ticket price in multiplexes and air-conditioned theatres in Chennai would now be Rs 160 while the minimum will be Rs 50.

Hopefully, now that the conflict has been resolved, the two parties can peace and the theatrical work can begin, so that the movies can be released at least by Diwali so that people can enjoy their day by watching movies and don't have to pay the price for this feud.

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"No cinema theatre can charge more than the fixed rates and one can complain if charged more", he said. The total ticket price will be approximately around Rs 230. This will clear the path for Mersal to finally be released on Diwali.

Entertainment Tax for non-Tamil films is still 20 per cent. However, after the protest of Tamil fraternity, the government revised the base price of the ticket for the first time in 10 years.