While rescheduling the new Entertainment Tax (ET) for theatres after 35 years, the municipal corporation has decided to give tax exemption only to Marathi and Gujarati drama and movies released in Mumbai.
The civic Assessment and Collection department made a proposal about the rescheduling of ET and submitted it before the standing committee for approval.
Air-conditioned theatres will pay Rs 60 as ET for each show and non-air-conditioned theatres will pay Rs 45 for every show of non-Marathi and non-Gujarati movies and dramas. The tax will be applicable for multiplexes too.
In 1975, the BMC had fixed the tax at Rs 20, Rs 15 and Rs 12.50 for Grade 1, Grade 2 and Grade 3 theatres respectively. “Since then the tax has not been revised,” said an official from Assessment and Collection department (BMC).
The proposal will be tabled before the standing committee this week and the tax will be collected from April 1 after the general body clears the proposal. “It will take about a month for the final approval,” said Rahul Shewale, chairman of the standing committee.