The Karnataka government has proposed levying a 2 per cent cess on movie tickets and subscription fee of television entertainment channels to fund welfare schemes for cine and cultural activists, according to draft rules notified by the Labour Department.

The draft rules have been framed under the Karnataka Cine and Cultural Activists (Welfare) Act, 2024, enacted by the state legislature.

The Act provides for constituting a welfare board and establishing a fund to finance schemes for the social security and welfare of cine and cultural activists in the state.

The Act further provides for a 1-2 per cent cess on movie tickets and subscription fees to generate funds. The draft rules finalise the cess rate at 2 per cent, a notification dated September 24 stated.

"Two per cent cess on cinema tickets of all theatres, including multiplex theatres. Two per cent cess on total transaction of television entertainment channels operating in the State of Karnataka," the draft rules state.

Under the Act, cine and cultural activists in the age group of 18 to 60 years, belonging to certain categories, will have to register with the government.

According to the Act, a "Cine and Cultural Activist" means any person employed in the field of cinema to work as an artist (including actor, musician, or dancer) or to perform any work — skilled, unskilled, manual, supervisory, technical, artistic, or otherwise — or any person engaged in other activities as declared by the government.

Registered cine and cultural activists will be eligible for accident benefits in case of death or disability, medical reimbursement, natural death assistance to the nominee of the deceased (including funeral expenses), education assistance for children, maternity benefits, and pensions.

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