The BMC today collects around ₹360 crore annually through the tax and expects the revised rates to raise this to around ₹500-550 crore a year.
Moviegoing could soon be an expensive affair in India’s maximum city as could going to concerts as the civic body pushes for a steep hike in <a href="https://comicvibe.com/imagicaaworld-entertainment-to-host-analyst-meetings-in-late-september/” title=”Imagicaaworld Entertainment to host analyst meetings in late September”>entertainment tax.
The Brihanmumbai Municipal Corporation (BMC) has proposed raising the entertainment tax on air-conditioned cinema halls from ₹60 to ₹400
That’s roughly a whopping 570% hike.
| Proposed tax | % Change | ||
| AC cinema halls and multiplexes | ₹60/ticket | ₹400 | 570% |
| Non-AC cinema halls | ₹45/ticket | ₹200 | 400% |
| Concerts and plays | ₹50/ticket | ₹100 | 100% |
| Other entertainment shows | ₹30/ticket | ₹75 | 150% |
| Mini theatres and video exhibition venues | No tax | ₹90/ticket | NA |
The proposal also covers other forms of entertainment, including plays and concerts, which have also become increasingly popular among the city’s youth.
Who pays?
The entertainment tax itself is paid by cinema exhibitors and managers of performing arts venues to the civic body for hosting screenings and shows.
However, audience will likely end up bearing the additional cost through higher ticket prices. Passing on extra expenses on customer is the oldest trick in the business book.
Beyond movie tickets and exceptions
Under the proposal, the tax on non-air-conditioned cinema halls would rise from ₹45 to ₹200. For performing arts shows such as plays and concerts, the tax would increase from ₹50 to ₹100. The levy on other miscellaneous entertainment shows would rise from ₹30 to ₹75.
The proposal also includes a ₹90-per-ticket tax for mini theatres and venues screening videos.
The higher rates would apply to movies and performing arts events in languages other than Marathi and Gujarati. The BMC has proposed a 100% tax exemption for Marathi and Gujarati films, plays and concerts.
The proposed rates come after more than six decades without a revision in the entertainment tax. The BMC currently collects around ₹360 crore annually through the tax and expects the revised rates to raise this to around ₹500-550 crore a year.
However, the proposal has faced opposition within the civic body. Diksha Karkar, chairperson of the civic body’s law committee and Shiv Sena corporator, has referred back the proposal and urged the administration to rework it.
“The proposed tax rates are exorbitantly high. At present, citizens are already reeling under high GST rates and other factors related to inflation. We have asked the authorities to rework these rates and present a fresh proposal during Tuesday’s meeting,” The Indian Express quoted Karkar as saying.
The proposal is therefore not final yet. It will have to go through the required approval process before the revised rates can come into effect.
First Published: Sept 23, 2026 3:55 PM IST
Bollywood moviesEntertainmentTax
