0

0

0

0

0

0

0

0

0

retail | IST

INOX Leisure expects occupancy levels to go up after GST cut on cinema tickets

Mini

INOX Leisure is in focus after the government reduced goods and services tax (GST)  on cinema tickets exceeding Rs 100 to 18 percent from 28 percent earlier. Deepak Asher, director of the company, spoke to CNBC-TV18 about the tax cut.

INOX Leisure is in focus after the government reduced goods and services tax (GST)  on cinema tickets exceeding Rs 100 to 18 percent from 28 percent earlier. Deepak Asher, director of the company, spoke to CNBC-TV18 about the tax cut.
Asher said that a very small portion of multiplex tickets is priced below Rs 100.
“However that doesn’t move the needle too much. What moves the needle is a fact that more than 90 percent of our ticket sales are priced at above Rs 100 for which the GST rate would have gone down from 28 percent to 18 percent effective January 1, 2019, which I am told is going to be effective from,” Asher said on Monday.
Asher expects occupancy levels to go up due to GST rate cut.
"We also expect advertising revenues to also increase due to rate cuts," Asher added.
When asked whether they would lower ticket prices, he said, “Absolutely yes. In fact, interest is to pass on the benefit of the reduced GST rates to the consumer with effect from January 1st when it comes into place.”
 
Have you signed up for Primo, our daily newsletter? It has all the stories and data on the market, business, economy and tech that you need to know.