Kochi: A recent revelation from the Local Self-Government Department (LSGD) has stirred controversy as it suggests that the state government lacks proper data on entertainment tax and cess collected from movie theatres. It is alleged that the majority of theatres fail to pay tax and cess, leaving the LSGD clueless about the financial details.
According to a reply obtained through the Right to Information (RTI) Act, the state government imposes an 8% entertainment tax on each cinema ticket, along with Rs 3 for the cess collected for welfare funds. However, the query seeking year-wise data for the last decade on tax and cess collection by theatres and their payments to the government yielded no results. Furthermore, the response was delayed by four months, adding to the concerns.
Previously, the LSGD had access to data on tickets sold, but the advent of online booking platforms has left the department in the dark regarding current figures.
In an attempt to streamline the process and gain accurate insights into ticket sales, the government introduced the mobile app ‘EnteShow’ and a corresponding website for movie ticket bookings. The initiative aimed to provide stakeholders, including the government, film producers, and theatre owners, with precise data on ticket sales.
Initially scheduled to launch in January, the plan was to make all theatres in the state accessible via the app for ticket bookings, but several theatre owners have opposed this initiative.
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