The Karnataka government has unveiled plans to introduce a 2% cess on movie tickets and television entertainment subscriptions aimed at funding welfare schemes for cine and cultural activists. This initiative is part of the Karnataka Cine and Cultural Activists (Welfare) Act, 2024, designed to provide social security and financial support to individuals working across the film and cultural sectors.
Under the proposed legislation, the cess will be levied uniformly on all movie tickets across theatres and multiplexes in the state, as well as on subscription fees for television entertainment channels. The draft rules specify a cess rate of 2%, subject to review every three years.
The act broadly defines cine and cultural activists to include all personnel involved in the industry — from artists such as actors, dancers, and musicians to technical, manual, supervisory, and other workers — ensuring a wide range of industry members benefit from welfare provisions.
This proposal comes in the wake of the Karnataka High Court’s recent stay on the state government’s order capping movie ticket prices at ₹200. While the price cap aimed to make cinema more affordable for audiences, it faced pushback from multiplex owners and some film producers, who challenged it as arbitrary.
Funds collected through the cess will be managed by the Karnataka Cine and Cultural Activists Welfare Board, which will oversee the allocation and distribution of welfare benefits to eligible individuals.
Officials say the move underscores Karnataka’s commitment to supporting the livelihood and welfare of those contributing to the state’s vibrant film and cultural landscape.
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