The GST Roll Out: Here's What The Restaurant Industry Feels About It

Discussion in 'Banking & finance' started by webadmin, Jun 26, 2017.

  1. webadmin

    webadmin Administrator Staff Member

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    The Goods and Services Tax (GST) comes in to effect on July 1, what will happen to your entertainment bill? Well, there are chances of your bill coming down though the overall impact is mixed. Below is a wide overview of the impact of GST on various entertainment services:

    Movies
    The GST Council has fixed a tax rate of 18% for cinema tickets costing Rs 100 or less. For the tickets costing Rs 100 or more, the rate is fixed at 28%.


    After the Goods and Services Tax (GST) comes in to effect on July 1, what will happen to your entertainment bill? Well, there are chances of your bill coming down though the overall impact is mixed. Below is a wide overview of the impact of GST on various entertainment services:

    Movies
    The GST Council has fixed a tax rate of 18% for cinema tickets costing Rs 100 o ..
    But people from Assam, Himachal Pradesh, Punjab and Uttarakhand will pay more for a movie ticket since these states levy zero entertainment tax.

    "Average tax rate on tickets is 8-10 per cent. If this goes directly up to 28 per cent, it is a negative impact," says Utkarsh Sanghvi, tax partner - media & entertainment at EY India.
    DTH and cable services
    Prices of Direct-To-Home (DTH) and cable services will come down. The GST Council has fixed 18% tax rate for cable TV and DTH services. Currently, these services attract an entertainment tax in states in the range of 10-30% besides the service tax levy of 15%.

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    Last edited: Jun 26, 2017

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