The government’s ministry of finance has clarified that the rate of GST for motion picture distribution, exhibition and all other services (digital) for showing films in a cinema hall is 18% and not 12% as being claimed by the film trade people. The Services Accounting Code (SAC) 999614 is used for motion picture, videotape and television programme distribution services under the GST classification. The GST for royalty of film from Doordarshan and All India Radio, IPRS etc. continues to be 12%. The SAC for the same is 997332.
The ministry of finance issued a clarification (alert) circular dated 13th October, 2020 to correct the wrong calculations being made by film trade people.
