The Karnataka High Court has directed the state government not to take coercive action against Cineplex Private Limited over the collection of a 2% cess imposed on multiplex cinema ticket prices, pending the next hearing in the case.
The interim direction was issued by a single-judge bench headed by Justice H.T. Narendra Prasad while hearing a petition filed by Cineplex Private Limited challenging the payment of the cess. The order does not finally decide the legality of the levy or whether the company is liable to pay it.
The case places the collection of a public charge on multiplex tickets within a broader administrative dispute involving the state government, cinema operators and the Karnataka Cine and Cultural Workers Welfare Board. The cess is linked to the operation of multiplex cinemas in the state, but the report does not specify the date on which the levy was introduced or the total amount disputed by the petitioner.
The court ordered notices to the respondents, including the Principal Secretary of the Karnataka Labour Department and the Secretary of the Karnataka Cine and Cultural Workers Welfare Board. The respondents have been directed not to take any coercive steps against the petitioner until the next hearing.
The direction means that the company has temporary protection from enforcement action while the court considers its petition. It does not amount to a final ruling against the cess itself, and the order reported by Prajavani does not state that collection of the levy has been cancelled across all multiplexes in Karnataka.
The dispute also highlights the administrative chain involved in implementing charges connected to the cinema sector. The Labour Department and the welfare board have been named as respondents, while the petitioner is contesting its obligation to make the payment. The court’s notice will require the respondents to respond to the company’s challenge.
The next hearing has been scheduled for November 17. Further proceedings will determine how the state authorities respond to the petition and whether the interim protection continues, changes or is withdrawn.
