Tollywood superstar Mahesh Babu’s multiplex AMB cinemas get a show cause notice from the Ranga Reddy district GST Commissionerate in Telangana for violating GST norms by not reducing the ticket price even after the revised tax rates. As per reports, officials from the anti-profiteering wing came to collect sample tickets from various local multiplexes, AMB cinemas were one of the few theatres which charged old GST rates even though the council had reduced the tax rate from January 1, 2019, onwards.
The GST on movie tickets was brought down from 28 percent to 18 percent and was in effect from January 1, 2019, onwards. Upon inspection, by the GST Hyderabad officials, AMB cinemas have made a profit of at least Rs 35 lakhs and would have to pay back to the consumer welfare fund.
Furthermore, the official even added that the companies like Nestle had made a profit of at least Rs 100 crore and had to give it back to the welfare consumer fund. The posh movie hall is located at the prime hub of Hyderabad city. The AMB cinemas are owned by Asian Group and are one of the leading film distribution companies in the Telugu Film industry. Mahesh Babu is said to hold a 20% share in the venture.
