GST on media and entertainment services generally ranges from 5% to 28%, depending on the type of service, ticket, subscription, or entertainment activity. Check applicable GST rates for cinema tickets, OTT subscriptions, DTH services, advertising, and events in a few simple steps.
In summary
- GST on media and entertainment applies to cinema tickets, OTT subscriptions, DTH and cable services, advertising, broadcasting, events, amusement parks, and gaming activities at rates ranging from 5% to 28%.
- Cinema tickets priced up to Rs. 100 attract 12% GST, while tickets above Rs. 100 attract 18% GST. OTT platforms, DTH services, cable television, advertising services, and media production services generally attract 18% GST.
- Amusement parks and certain gaming activities may attract GST rates of up to 28%, depending on the nature of the service and applicable GST provisions.
- Businesses operating in the media and entertainment sector can claim eligible input tax credit on business-related purchases and services, subject to Goods and Services Tax regulations.
- GST has replaced multiple indirect taxes, creating a uniform tax structure across the media and entertainment industry.
- This page covers GST rates on media and entertainment services, GST on cinema tickets, DTH and broadcasting services, OTT platforms, advertising services, events and gaming, input tax credit eligibility, and the impact of GST on the industry.
What is GST on media and entertainment?
GST on media and entertainment refers to the Goods and Services Tax applicable to entertainment-related goods and services, including cinema exhibitions, digital streaming platforms, broadcasting services, advertising, live events, amusement parks, and gaming activities.
Under the GST regime, different segments of the media and entertainment industry attract different tax rates based on their classification. The introduction of GST simplified the indirect tax structure by replacing taxes such as entertainment tax, service tax, and value added tax (VAT) in many cases.
GST rates on media and entertainment services
The applicable GST rate depends on the type of media or entertainment service provided.
| Media and entertainment service | GST rate |
|---|---|
| Cinema tickets up to Rs. 100 | 12% |
| Cinema tickets above Rs. 100 | 18% |
| OTT subscriptions | 18% |
| DTH services | 18% |
| Cable television services | 18% |
| Broadcasting services | 18% |
| Advertising services | 18% |
| Media production services | 18% |
| Amusement park services | 18% |
| Specified gaming and betting activities | Up to 28% |
GST on movie and cinema tickets
GST on cinema tickets depends on the ticket price charged to viewers.
- Movie tickets priced up to Rs. 100 attract GST at 12%.
- Movie tickets priced above Rs. 100 attract GST at 18%.
- GST is included in the final ticket price paid by customers.
- Cinema operators are responsible for collecting and depositing GST.
- State-level entertainment taxes applicable before GST were largely subsumed into the GST framework.
GST on DTH, cable, and broadcasting services
DTH, cable television, and broadcasting services generally attract GST at 18%.
- DTH subscription charges attract 18% GST.
- Cable television services supplied by operators attract 18% GST.
- Broadcasting services supplied to businesses and consumers generally attract 18% GST.
- GST is charged on subscription fees and related service charges.
- Service providers can claim eligible input tax credit on qualifying business expenses.
GST on OTT and digital streaming platforms
OTT platforms supplying digital entertainment services are generally taxable at 18%.
- Monthly and annual subscription plans attract 18% GST.
- Video streaming, music streaming, and digital content subscriptions are covered.
- Foreign digital service providers supplying services in India must comply with applicable GST provisions.
- GST is included in the subscription charges billed to consumers.
- OTT businesses must maintain GST compliance for taxable supplies.
GST on advertising and media production
Advertising and media production services generally attract GST at 18%.
- Advertising agencies charge 18% GST on services supplied to clients.
- Production houses providing media production services typically charge GST at 18%.
- Digital advertising services also attract GST.
- Businesses receiving advertising services can claim eligible input tax credit subject to GST provisions.
- GST applies across television, print, radio, digital, and outdoor advertising segments.
GST on events, amusement parks and gaming
Entertainment events and recreational activities attract different GST rates depending on their classification.
- Entry tickets to amusement parks generally attract GST at 18%.
- Event management services generally attract GST at 18%.
- Concerts and entertainment events are taxable based on the nature of supply.
- Certain gaming, betting, and gambling activities attract GST at rates up to 28%.
- Organisers must comply with GST registration and tax payment requirements where applicable.
ITC for media and entertainment companies
Eligible businesses can claim input tax credit on GST paid on business-related purchases and services.
- Input tax credit helps reduce the overall GST liability of businesses.
- Production houses can claim credit on eligible production expenses.
- Advertising agencies can claim credit on qualifying input services.
- Broadcasters and OTT companies can claim eligible credits on operational expenditures.
- Credits are available subject to compliance with invoicing and return filing requirements.
Impact of GST on the media and entertainment industry
GST has created a unified indirect tax structure for the media and entertainment sector.
- Multiple indirect taxes were consolidated under a single tax framework.
- Businesses benefit from a streamlined compliance structure.
- Availability of input tax credit reduces tax cascading in the supply chain.
- Uniform taxation improves consistency across states.
- Digital entertainment services now operate within a clearer taxation framework.
How GST affects media and entertainment businesses
Understanding GST obligations helps media and entertainment businesses manage compliance and costs effectively.
Businesses involved in production, broadcasting, advertising, event management, digital streaming, and entertainment services must evaluate applicable GST rates, compliance requirements, and input tax credit eligibility. Organisations seeking funds for expansion, equipment purchases, production costs, or working capital can explore business loans, compare the applicable business loan interest rate, and estimate repayments using a business loan EMI calculator from Bajaj Finance.
