Bengaluru: The Karnataka state government has proposed a new cess on cinema tickets and Over-The-Top (OTT) subscription fees to support film and cultural activists.

According to the Karnataka Cine and Cultural Activists (Welfare) Bill of 2024, introduced in the legislative assembly on Friday, the cess will range from 1 percent to 2 percent, with the exact rate to be decided by the government.

Labour Secretary Mohammad Mohsin mentioned that the government also plans to extend this cess to theatrical plays staged within the state. The bill includes the creation of a seven-member welfare board for cine workers and cultural activists. One-third of the board members will be nominated for a three-year term. The board will use the funds from the cess to support social security schemes for film workers.

The Karnataka Film Workers' Artists' Technicians' Union estimates that around 2,355 workers, including artists and technicians, are employed in the industry. However, many small-time artists and technicians may not be registered with any organization in the state.

Each registered member will receive a unique identity card to claim benefits. There is some uncertainty about how the cess will be imposed on OTT subscriptions, which are typically managed through online platforms without local addresses. Mohsin mentioned that discussions are ongoing about whether OTT subscriptions will be included. The focus seems to be on OTT productions by the local film industry.