Cinema operators of Surat are confused about the decision of GST Council. Loktej Surat, Entertainment, Business News

face. In the GST Council meeting held on Tuesday, the GST rate on food items served in cinema halls was reduced to 5 percent from the earlier 18 percent. This decision of the GST Council did not affect the cinema business of Surat in any way, but on the contrary, the theater operators here are quite confused about the revision in the GST rate. Theater operators are contacting their chartered accountants, but due to the non-receipt of the notification, they too do not have a solution.

According to the detailed information, the GST Council meeting concluded on Tuesday. In the meeting, the council reduced the GST rate on food items served in cinema halls to 5 percent. Earlier the GST rate was 18 percent. This decision taken in the meeting of the GST Council has remained a puzzle for the theater operators of the city. Since 5 percent GST was already being collected on food items in the cinema halls of the city, it is beyond the understanding of the theater operators to reduce the GST rate by the GST Council to five percent. Theater operators argue that 5 percent GST is already applicable on food items, then how about 5 percent GST from 18 percent?

Chandravijay Gaba, owner of Raj Imperial Multiplex located at Surat’s prestigious Varachha Road, says that this amendment of the GST Council is beyond comprehension. He said that the notification has not come yet. We have tried to understand with our CA but nothing is clear due to non-availability of notification. With the implementation of GST, five percent GST has been collected in cinema halls in Gujarat. Probably other states will have different rates due to which the GST Council would have reduced it from 18 per cent to five per cent. Gaba said that at the time of online ticket booking in theatres, we charge only five per cent GST on food orders as well.