Movie Ticket GST Cut to 5% From September 22 – Major Boost for Single Screens

The GST Council has given cinema lovers and the film industry a big win. Starting September 22, 2025, movie tickets priced at Rs 100 or less carry only 5% GST, down from 12%. Tickets above Rs 100 still carry 18% GST. This decision makes cinema-going more affordable, especially at single-screen theatres in small towns and rural areas where ticket prices usually stay under Rs 100.

Industry insiders say this 7% tax cut will bring more families back to theatres, boost footfalls, and raise revenues for producers, distributors, and exhibitors. The industry faced a sharp drop in audience turnout after Covid-19, so this move gives the sector much-needed relief.

Why This GST Cut Matters

India’s film industry earns over Rs 15,000 crore every year but continues to face pressure. Rising ticket prices and the growing popularity of OTT platforms and television drove many viewers away from theatres. The new GST rate lowers ticket prices at single screens and smaller cinemas, gives audiences a strong reason to return, and revives the culture of watching films on the big screen, especially in Tier-2 and Tier-3 cities.

Multiplexes Miss Out

The Multiplex Association of India (MAI) urged the government to include tickets priced up to Rs 300 under the 5% GST slab. The GST Council rejected the request. This decision leaves multiplexes outside the tax relief but helps single screens recover faster from their post-pandemic struggles.

Upcoming Releases to Gain

This timing gives the film industry a major advantage. Big-ticket films such as Pawan Kalyan’s OG (releasing September 25), Mass Jathara, Andhra King Thaluka, Akhanda 2, and Sankranthi releases like The Raja Saab, Mana Shankara Vara Prasad Garu, Jana Nayagan, and RT76 can draw larger crowds and earn higher box office collections with lower ticket prices.

Higher GST on Sporting Events

The GST Council has raised GST on sporting events. Fans attending IPL matches and other events now pay 40% GST with input tax credit, up from 28%. This hike increases stadium ticket prices and makes live sporting events more expensive.

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