The Indian film industry will observe a one day token strike on February 23 to oppose the 10.3 per cent service tax that the government has levied on it last October.
No cameras will roll, film reels will not reach theatres, ticket windows will remain closed and theatre screens across India will go blank on February 23.
“The high service tax is killing the film industry. Both regional and Bollywood industry members — producers, distributors and exhibitors — will be on token strike that day,” confirmed TP Aggarwal, VP, Film Federation of India.
According to producer and VP of the Film Producers’ Guild in Mumbai, Mukesh Bhatt, more than 50 per cent of a film’s budget comprises various taxes, such as excise, stamp duty, VAT, Octroi and so on. “This will further shoot up a film’s budget, reducing the chances of its success when released,” he points out.