Cinema theaters are already struggling to pull the audience to theaters in big numbers. Barring big event films, most others films are finding it tough to bring crowds in massive numbers. And ok too if that, there’s a lot of backlash for the high prices charged for food and drinks at cinemas.
To make matters worse, GST Fitment Committee has proposed to hike up the prices of food and drinks at cinema halls further.
The committee has proposed to impose additional 5% GST on food and drinks at cinema halls across the country. This could well add additional burden on the already struggling theatrical market. Amidst complaints about high prices of food items, the added tax could add more fuel to the fire.
The fitment committee has proposed to impose 28% tax on online gaming, horse racing, and casinos.
The final call on the same will be taken in the committee meeting on the 11th of this month. It it is indeed decided to impose additional GST on food and drinks at cinema halls, it has to be seen how cinema goers will react to it.
