Karnataka Tax Guide | Updated 2026

Karnataka Entertainment Tax & GST: Current Law and Payment Guide

The old Karnataka Entertainment Tax e-payment procedure shown on legacy VAT-era portals is no longer the correct general guide for current entertainment taxation. Entertainment services are principally dealt with under GST, while a separate municipal entertainment-tax levy may apply under local law, including provisions applicable to Bengaluru.

Important: The Karnataka Commercial Taxes Department lists the Karnataka Entertainments Tax Act, 1958 among repealed tax laws. Therefore, businesses should not rely on the former VAT-era entertainment-tax payment links as the current statewide payment mechanism.

Current legal position in Karnataka

The former Karnataka Entertainments Tax Act, 1958 was part of the pre-GST entertainment-tax framework. The Karnataka Commercial Taxes Department now places that enactment in its list of repealed tax laws. Current businesses should therefore first determine their liability under the Goods and Services Tax framework and, where relevant, any separate entertainment tax authorised under applicable municipal legislation.

The principal GST statutes are the Central Goods and Services Tax Act, 2017 and the Karnataka Goods and Services Tax Act, 2017, together with the applicable rules, rate notifications and amendments.

GST on cinema and entertainment services

Admission to cinemas, events, amusement or entertainment services may attract GST according to the applicable classification, value and rate notification. The exact rate can vary by the nature of the supply and by later amendments, so taxpayers should verify the current notification before making a payment or issuing tax invoices.

Practical point: For a registered person, ordinary GST liabilities are generally reported and paid through the GST system rather than through the old Karnataka VAT entertainment-tax e-payment page.

GST Portal Karnataka Commercial Taxes

Entertainment tax under the BBMP Act, 2020

The Bruhat Bengaluru Mahanagara Palike Act, 2020 contains a separate power for the Corporation to levy and collect entertainment tax on specified forms of entertainment within the corporation area. Section 165 provides for entertainment tax on ticket-based, non-ticket-based and televised entertainment, with the rate to be determined by the Corporation by resolution.

Accordingly, a business operating within Bengaluru should distinguish between its GST liability and any local municipal entertainment-tax liability that may be validly imposed under the applicable municipal framework.

How to pay the current tax liability

LiabilityCurrent approachOfficial source
GST on taxable entertainment services Use the GST portal for registration, returns, electronic liability and payment as applicable. gst.gov.in
Karnataka GST law / notifications Check Karnataka Commercial Taxes Department for KGST Acts, rules, notifications and circulars. gst.karnataka.gov.in
BBMP/local entertainment tax Check the applicable BBMP/local authority resolution, demand or payment facility before remitting any municipal levy. BBMP

What about old Karnataka Entertainment Tax dues?

Repeal of a taxing enactment does not necessarily erase liabilities, assessments, penalties or proceedings that arose while the former law was in force. A taxpayer dealing with an old demand should refer to the relevant repeal-and-savings provisions, the demand order, any applicable settlement scheme and instructions issued by the Commercial Taxes Department.

For an old assessment or arrear, do not assume that a historical e-payment screen is still the correct payment channel. Confirm the presently authorised payment procedure with the Karnataka Commercial Taxes Department.

Frequently asked questions

Can I still use the old Karnataka VAT entertainment-tax e-payment page?

It should not be presented as the normal current statewide payment route. The Karnataka Commercial Taxes Department categorises the Karnataka Entertainments Tax Act, 1958 as a repealed law. Current liability should be checked under GST and any applicable local legislation.

Is entertainment completely free from tax after GST?

No. Entertainment services can be taxable under GST, and local entertainment-tax provisions may also exist where constitutionally and statutorily authorised. The applicable liability depends on the activity, location and current notifications or municipal resolutions.

Where should a Karnataka business verify the latest GST rate?

Use the GST portal and the Karnataka Commercial Taxes Department's GST law and rate-notification pages. Rates and exemptions can change through notifications.

Last reviewed: 28 August 2026. This page is a general information guide and not a substitute for professional advice on a specific tax liability.