Nationwide film halls shut down in protest against govt’s tax policies

Photo Courtesy: QFX cinemas

Kathmandu: Film halls across the country were forcefully closed today as part of a widespread protest against the government’s imposition of taxes across various brackets.

A symbolic demonstration saw 150 film halls cease operations on Monday, echoing the industry’s dissatisfaction with the current tax structure. The Nepal Motion Picture Association (NMPA) revealed that the government is enforcing a hefty 36 percent tax, citing film development fees, local taxes, and VAT as contributing factors.

The association contended that the film development fee and local tax are both impractical and urged their immediate abolition. Insisting that no additional taxes should be collected beyond VAT and corporate tax, the NMPA emphasized the detrimental impact of increased VAT on the audience.
The association lamented that the film sector, which boasted 450 film halls before the establishment of the Film Development Board, now only sees 150 in operation. The NMPA attributed this decline to the ongoing repercussions of the coronavirus pandemic.

The film industry’s plea for relief sheds light on the struggles faced by the sector, highlighting its inability to sustain itself under the burden of government-imposed taxes.