Pre-Budget 2026: Why Live Music Needs GST Relief To Sustain India’s Concert Boom

India’s live music economy is standing at a pivotal moment. From stadium concerts and large-format festivals to a growing calendar of global tours, the country’s appetite for live experiences has expanded rapidly over the last few years. However, as scale increases, so do structural pressures,most notably the burden of Goods and Services Tax (GST), which industry leaders say could determine whether the concert boom remains sustainable or begins to slow.

With live entertainment operating on high upfront costs and thin margins, stakeholders across the ecosystem argue that GST rationalisation is no longer a fiscal request but an industry necessity. Promoters warn that without relief, rising ticket prices, reduced risk appetite, and fewer international tours could follow.

Hamza Kazi, Head of Artist Relations & Development at The Hello Group India, highlights how taxation directly impacts demand in a still-evolving market.“In live entertainment, GST is not a marginal line item,it is one of the largest cost multipliers on an already high-risk business. Promoters operate on thin, unpredictable margins, while audiences in India are still transitioning from free or subsidised entertainment to a culture of paying for live experiences. Even a 10 percent tax difference directly impacts ticket pricing, attendance, and promoter viability, slowing demand precisely when the ecosystem is trying to mature,” he said.

Industry executives note that India is competing with global touring markets across Asia, the Middle East and Australia, many of which offer lower tax burdens or targeted incentives to attract large-scale tours. Without policy alignment, India risks losing out on major international acts or seeing fewer multi-city tours.

Karan Singh, CEO of Sunburn, one of Asia’s largest live music festival brands, stressed that GST reform could unlock the next phase of growth for the sector.“India has proven that it has the audience, infrastructure and cultural appetite for world-class live events. What we need now is a tax framework that recognises live music as a cultural and economic driver, not a luxury. Rationalising GST will allow promoters to price tickets more accessibly, take creative risks, and attract more global tours,ultimately growing revenue for the government through scale rather than restriction,” Singh said.

Beyond ticketing economics, industry leaders also point to the broader creative value chain,from artists and technicians to vendors and local employment,that depends on a thriving live ecosystem.

At the intersection of live events and the digital economy, Gaurav Dagaonkar, CEO & Co-Founder of Hoopr, emphasised the need for policy reform across music rights and licensing as well.“India’s digital and creator economy is expanding rapidly, and music rights and licensing frameworks must evolve in line with today’s content creation and consumption patterns. Music plays a central role across short-form video, branding, gaming, and emerging digital formats, yet licensing remains fragmented and complex,” he said.

Dagaonkar added that technology-led, transparent licensing systems, coupled with a future-ready copyright framework, will be critical as AI-generated music and new digital formats gain momentum. He also underscored the importance of targeted support for startups and MSMEs to build a globally competitive creator economy.

As Pre-Budget 2026 conversations gather momentum, the live music industry is making a unified case: GST relief is not about concession, but capacity-building. With the right policy support, India’s concert economy could move from episodic success to sustained global relevance,turning live music into a long-term cultural and economic engine.