Bengaluru, July 19 – The Karnataka government is considering adding a 2% tax on movie tickets and OTT (Over-The-Top) subscriptions to help artists and cultural workers. This move is part of the Karnataka Cine and Cultural Activists (Welfare) Bill, 2024, introduced in the assembly today, as reported by Moneycontrol.
The bill proposes a ‘Cine and Cultural Activists Welfare Tax’ on ticket sales, subscription fees, and related revenues statewide. The tax rates could range from 1% to 2%, set by the government and reviewed every three years.
Earlier this month, Karnataka introduced a draft law to protect gig workers’ rights and provide them with social benefits. It aims to ensure workers in app-based delivery and ride services receive social security.
However, a recent job quota bill faced criticism and was put on hold by the Karnataka government.
“The tax rates will be decided by the government, not going below 1% or exceeding 2%, on cinema tickets, subscription fees, and other related earnings,” according to Moneycontrol, quoting the bill.
The bill defines ‘cine and cultural activists’ broadly, including artists, technicians, and others involved in the cinema industry. The government aims to provide welfare benefits to eligible individuals under this law.
Recently, Karnataka has taken steps to support local communities. Earlier this year, it canceled an e-bike taxi program in Bengaluru due to protests from auto-rickshaw unions, citing misuse concerns.
