NEW DELHI, July 3 (Xinhua) -- More than 1,000 movie theatres in the southern Indian state of Tamil Nadu went on an indefinite strike Monday, following a call by cinema hall owners and film distributors in protest against the new tax structure on tickets.
Tamil Nadu Theatre Owners and Distributors Association said the strike was actually against the imposition of an additional 30 percent corporation tax on ticket sales levied by the state government above the goods and services tax (GST) that was launched by India on July 1.
The GST subsumes more than a dozen central and local levies. It subsumed entertainment tax as well, so the Tamil Nadu government rechristened it as corporation tax.
"We are against the corporation tax which is 30 percent. This is in addition to the GST rates. We are not against the GST. We welcome it," Tamil Nadu Theatre Owners and Distributors Association President Abhirami Ramanathan told the media.
"It will be viable to pay huge tax as it would surely affect the livelihood of more than a million families associated with the industry," he added.
Move-goers are disappointed with the strike. "It's Monday, but if the strike is not withdrawn by Friday, then it will dampen the spirits of the weekend, the time when most people go to halls to watch movies," said Rahana Pillai, a film buff.
Tamil Nadu film industry is one of the leading industries in India after Bollywood.
