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CliQ INDIA > Entertainment > Karnataka government proposes 2% cess on movie tickets and OTT subscriptions for artists’ welfare fund | CliqExplainer
Entertainment

Karnataka government proposes 2% cess on movie tickets and OTT subscriptions for artists’ welfare fund | CliqExplainer

The Karnataka government is planning to introduce a cess on movie tickets and OTT (Over-The-Top) subscription fees to create a welfare fund for cinema and cultural artists in the state.

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Highlights
  • Welfare fund aims to provide social security for film industry workers.
  • Karnataka plans 2% cess to support cinema and cultural artists.

The Karnataka government is planning to introduce a cess on movie tickets and OTT (Over-The-Top) subscription fees to create a welfare fund for cinema and cultural artists in the state. This proposed cess, ranging from 1 to 2 percent, is expected to be revised by the state government every three years. It will be applicable to cinema tickets, subscription fees, and revenue generated from related establishments within Karnataka.

The Karnataka Cine and Cultural Activists (Welfare) Bill, 2024, was introduced in the Assembly on Friday. The Bill aims to establish a seven-member welfare board and create a fund dedicated to financing schemes that provide social security and welfare benefits to artists in the state.

“Any individual working in the film industry as an artist (actor, musician, dancer, etc.) or in any manual, supervisory, technical, artistic, or unskilled capacity is considered a cine and cultural activist. This also applies to people who are involved in activities that the government has declared in connection with this Act,” the Bill stated.

Officials have indicated that the state government also plans to extend the cess to theatrical plays staged within Karnataka. This move is intended to ensure that the welfare fund covers a broad spectrum of artists and cultural workers.

The proposed Bill highlights the necessity of supporting individuals involved in the cultural and entertainment sectors, recognizing their contributions to the state’s cultural heritage. The fund aims to address various social security needs, including healthcare, pension, and financial aid for artists facing financial difficulties.

By implementing this cess, the Karnataka government seeks to create a sustainable source of revenue to support the welfare and security of artists. The proposed measures have been welcomed by many in the industry, who see it as a step towards acknowledging and addressing the financial uncertainties faced by cultural workers.

However, the implementation of this cess is expected to be closely monitored and debated, as it may impact ticket prices and subscription fees. The government will need to balance the interests of consumers with the necessity of providing adequate support to the state’s artists.

Overall, the introduction of the Karnataka Cine and Cultural Activists (Welfare) Bill, 2024, marks a significant move towards the welfare and social security of artists, ensuring their contributions to the state’s cultural landscape are recognized and supported.

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