Bengaluru: Karnataka high court Wednesday issued notice to the state govt in response to a petition challenging the levy of 2% cess on cinema ticket revenues under the Karnataka Cine and Cultural Activists (Welfare) Act, 2024.Justice HT Narendra Prasad directed govt to submit its response to the plea, filed by the Multiplex Association of India (MAI), PVR INOX Ltd and others, specifying whether the Act had come into force or not.The petitioners have contended that the state cannot demand such a cess through circulars and notices as the parent Act itself is yet to come into force because no commencement notification has been issued. In its absence, the authorities have issued circulars demanding the amount, the court was told.On Aug 29, a circular was also issued directing cinema theatres and multiplexes across Karnataka to collect an additional 2% amount on ticket prices from Sept 1.In addition to the parent Act, the petitioners have also challenged the Karnataka Cine and Cultural Activists Social Security and Welfare Rules, 2025, and the 2026 amendment to the Act.
