Earlier in the day, we had reported the State Government of Tamil Nadu would levy 10% to 20% Entertainment tax on GST with effect from 27th September. For obvious reasons, this news would not go well with the exhibitors.
The last time when Entertainment tax was levied, the theatre owners went on a 4-day long strike. Will we experience a similar situation again? We are just 18 days away from the release of one of the biggest films of the year, Mersal. Will this tax issue affect Mersal in any way?
We got in touch with Ruban Mathivanan, Managing director of GK Cinemas to know more about this, "This problem doesn't start or end with Mersal; it is a very tricky situation for all theatre owners. Not just Mersal, even the films that are being screened right now have been acquired based on old tax calculations. So this new taxation policy will be a huge hit for theatres owners. It could even destroy the industry".
August 15th, 2016, Kollywood saw three film releases, namely Joker, Mudinja Ivana Pudi, and Wagah. Though Joker went on to do well at the box office, none of the films created a roar of excitement. It was a four day weekend, with the National Holiday falling on Monday. This time, 15th of August falls on a Tuesday and a five day weekend is on the cards. For films which are planned for a Thursday release, they have a six day Independence weekend.
Ruban Mathivanan, the Managing director of GK Cinemas, Porur has taken to Twitter to express his dissent on 2016's underplayed Box Office performance and how he expects the upcoming Independence weekend to be utilized well. He said, ''I really wish this Aug 15 weekend is utilized well, last year it was a disaster and wasted weekend! #KollywoodneedsPlanning.''
After Vivegam's release date was confirmed to be August 24th, a heap of films have stormed to take the long weekend spot. Jyothika's much-awaited next, Magalir Mattum, produced by Suriya's 2D Entertainment is planning for a 10th August, Thursday release. While Udhayanidhi's Podhuvaga EmManasu Thangam, director Ram's Tharamani, and Sibiraj's Sathya are planning to light up the silver screens on 11th August. Interestingly, Producer CV Kumar turns director with, Maayavan, which is again slated for an August 11th release.
Let us wait and watch if this Independence weekend will spice up the Box Office!