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Movies likely to be pricier in north Delhi

Movie tickets are likely to become pricier in north Delhi with the North Delhi Municipal Corporation deciding  to revise the 56-year-old entertainment tax policy. The new policy to come into effect in the next financial year would have a provision to link the tax with individual ticket sale, as against the present policy under which the tax is charged on per show basis.

According to the present entertainment policy, the three corporations charge Rs 7-10 per show from cinema halls and multiplexes. ‘The rates were decided by the Delhi Municipal Act- of 1957 when the charge per ticket was just one rupees per show. But in the age of multiplexes the consumers are being charged a minimum of Rs 150 per ticket, so there was immediate need to revise the taxes,'said P K Gupta, commissioner of North DMC, presenting the proposal before the standing committee on Wednesday.

The commissioner has proposed a tax rate of flat five per cent per ticket sold. Under the new policy, the the proposed tax for drama, concert, circus, variety entertainment has also been hiked from Rs 7 per show to Rs 1.00 per occupied seat, tax for carnival or fete from Rs 10 per show to Rs 5,000 per show and Rs 7 to Rs 500 per show for any other entertainment show.

The commissioner has also proposed to increase the rate of outdoor advertisement tax. The minimum rate of outdoor advertisement would be increased from the present Rs 18 to Rs 1,000. The standing committee, however, referred back the proposal for redrafting due to technical reasons.
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