Producer CJ Jayakumar of Cameo Films has made an earnest appeal to moviegoers to support the struggle of the film industry in their ongoing protest against the double taxation rule in Tamil Nadu.
We as producers are in the business of film production producing feature film to keep our audience entertained.
We wish to inform the cinema viewing audience that we are just able to manage to survive in this industry which is full of uncertainties. The cost of Production is skyrocketing on account of various high-value inputs including the very high rate of interest borrowed funds as no formal financial institution funds our industry. We are a very high-risk industry most of us in the Industry struggle to keep our head above the water.
With the introduction of GST, we are now subject to the high rate of tax from 18% to 28% as against the liberal exemption benefits given to us earlier by the State Govt. Now we have learned that local administration of the state Govt., has levied local taxes 30% on cinema tickets, which will impact further on the audience who will pay very high rate of tax between 48% – 58% and will also impact our profitability badly.
We have made several representations to the State Govt. to remove 30% local tax but have not resulted in any action. Now we request the moviegoers to support film industry in our struggle in getting the additional 30% local taxes removed which will be beneficial to you in general and the film industry particular.