Chennai: The State Government has promised to find an amicable solution after the indefinite shutdown of more than 1,000 movie theatres in the State over GST entered the second day.

The Tamil Nadu Film Chamber of Commerce, which has called the agitation, also wants abolition of local taxes.

Chamber President Abirami Ramanathan has said there would be no backing out of the agitation till the State Government made its stand clear on the local tax imposed on theatre owners which is over and above the GST.

It said the State government planned to collect municipal taxes separately for cinema halls after implementation of GST.

With the implementation of GST, theatres with ticket rates below Rs 100 should pay 18 per cent tax and those, including multiplexes, with rates above that should pay 28 per cent tax.

Coupled with the proposed local tax, the rate would be over 50 per cent the ticket price, he added.