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CliQ INDIA > National > Karnataka Imposes 2% Cess on Movie Tickets and OTT Subscriptions to Support Cine Workers | BulletsIn
National

Karnataka Imposes 2% Cess on Movie Tickets and OTT Subscriptions to Support Cine Workers | BulletsIn

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Highlights
  • Karnataka imposes 2% cess on tickets to fund cine workers.
  • New welfare board to address complaints of cultural activists.

The Karnataka government has introduced the Karnataka Cine and Cultural Activists (Welfare) Bill, 2024, aiming to establish a fund for the welfare of cine and cultural workers. The bill proposes a 2% cess on movie tickets and OTT subscriptions to finance this initiative. This move is part of a broader strategy to address fiscal challenges and fund various state programs.

BulletsIn

  • The Karnataka Cine and Cultural Activists (Welfare) Bill, 2024, was introduced in the Legislative Assembly to support cine and cultural workers.
  • The bill proposes the creation of the Karnataka Cine and Cultural Activists Welfare Board, led by the Labour Minister, with its headquarters in Bengaluru.
  • A 2% cess, named “Cinema and Cultural Activists Welfare Cess,” will be levied on movie tickets and OTT subscriptions.
  • The welfare board will address complaints from registered film and cultural activists regarding their entitlements.
  • Individuals working in any capacity within the film industry, including artists and technical staff, are covered under the bill.
  • The bill includes individuals recognized by various government-approved academies as cine and cultural activists.
  • The Karnataka government is under fiscal pressure due to its five guarantee schemes and the new welfare program.
  • Chief Minister Siddaramaiah has allocated Rs 52,000 crore for these guarantees, with each family receiving Rs 50,000 to Rs 55,000 annually.
  • Karnataka’s fiscal situation includes a revenue deficit and net borrowings exceeding Rs 1 lakh crore, with total liabilities estimated at Rs 6,65,095 crore.
  • The projected fiscal deficit for 2024–2025 is Rs 82,981 crore, representing 2.95% of the state’s GDP.

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