Entertainment tax may be cut
Entertainment tax is a state subject, which means individual state governments set the rates. Even a reduction of 10 percentage points in the entertainment tax may result in a reduction of Rs 20-35 in the prices of movie tickets and a saving of Rs 10-15 per month on the DTH bills, which service providers, who currently absorb this hit, may pass on to its consumers, an industry expert said. “The direct impact of the reduction in entertainment tax will be on cinema tickets. For DTH consumers, the benefits may come in the form of further discounts on packages since the DTH companies bear the entertainment taxes at the moment,” an industry expert said.
