Mumbai: A move that has surprised not only hoteliers but also patrons Excise Department has increased the annual excise duty collected from all bars by 15% and for liquor shops by up to 70%.
A gazette notification in this regard was issued on Friday.
The hike comes at a time when bar and restaurant owners are demanding a 50% discount to tide over the losses caused by a series of lockdowns.
The fee for the first time was Rs 6.93 lakh per annum, which has been revised to Rs 7.97 lakh per annum. For liquor shops, the hike is Rs 21 lakh from the earlier Rs 15 lakh.
Industry’s apex body Indian Hotel and Restaurant Association (AHAR) has condemned the hike in excise duty by 15%, pointing out that the hospitality industry has already been badly hit, especially the hotel and restaurant segment, bar- Due to bar lockdown imposed by the state to contain the pandemic.
AHAR said the hike would be a major blow to the industry, especially when the association had already requested the state for 50% relaxation in permit room or bar license fee to support the distressed industry. Instead the administration is announcing slowdown and debilitating measures that will further damage the industry, it said.
Aahar President Shivanand Shetty said: “We have all the reasons to doubt the intention of the government in supporting the industry. How is the industry expected to survive such attacks, which are killing the industry which creates maximum employment opportunities? And does the government also have revenue?”
A gazette notification in this regard was issued on Friday.
The hike comes at a time when bar and restaurant owners are demanding a 50% discount to tide over the losses caused by a series of lockdowns.
The fee for the first time was Rs 6.93 lakh per annum, which has been revised to Rs 7.97 lakh per annum. For liquor shops, the hike is Rs 21 lakh from the earlier Rs 15 lakh.
Industry’s apex body Indian Hotel and Restaurant Association (AHAR) has condemned the hike in excise duty by 15%, pointing out that the hospitality industry has already been badly hit, especially the hotel and restaurant segment, bar- Due to bar lockdown imposed by the state to contain the pandemic.
AHAR said the hike would be a major blow to the industry, especially when the association had already requested the state for 50% relaxation in permit room or bar license fee to support the distressed industry. Instead the administration is announcing slowdown and debilitating measures that will further damage the industry, it said.
Aahar President Shivanand Shetty said: “We have all the reasons to doubt the intention of the government in supporting the industry. How is the industry expected to survive such attacks, which are killing the industry which creates maximum employment opportunities? And does the government also have revenue?”
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