New Delhi, May 22 (PTI) Shares of multiplex operators Also Read - Refusal to Compensate States on GST is Nothing Short of Betrayal by Centre, Says Sonia Gandhi at Chief Ministers' Meet
INOX Leisure and PVR fell by up to 4 per cent today after Also Read - 40th GST Council Meeting: Zero Late Fees For Tax Return Filing Between July 2017 & Jan 2020
announcement of GST rates in which they are bracketed in the Also Read - GST Council May Provide Relief to Trade on Issue of Late Fee
INOX Leisure shares went down by 3.91 per cent to end at
Rs 276.60 and PVR fell by 2.32 per cent to close at Rs
1,483.90 on BSE.
PVR tumbled 7.83 per cent to Rs 1,400.10 in intra-day
session and INOX Leisure fell by 4.39 per cent to Rs 275.20.
“These companies may be slightly unhappy that they have
been bracketed in the highest category along with gambling and
betting activities. That almost looks akin to imposing a “Sin
Tax” on movies. However, multiplexes will benefit from
subsuming of plethora of state and local taxes into one single
tax and also from input credits,” said Vaibhav Agrawal, Head
of Research and ARQ, Angel Broking.
Entertainment tax will be merged with service tax under
the GST and a composite 28 per cent levy charged on cinema
services as well as gambling and betting at race course.
While the rate proposed for cinema halls is lower than 40
to 55 per cent currently, it may not result in a reduction in
tariffs on cinema tickets as states continue to hold right to
levy local charges on them.
The GST Council finalised four tax rates of 5, 12, 18 and
28 per cent for services, including telecom, insurance, hotels
and restaurants, under the biggest tax reform since
This is published unedited from the PTI feed.