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Hotel industry seeks rationalisation of taxes

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Express news service

Posted: Jan 03, 2008 at 0000 hrs IST

Pune, January 2 The Hotel & Restaurant Association (Western India) (HRAWI), an association dedicated to serve the interest of the hotel and restaurant industry, is expanding its members list by bringing in small players from the hospitality industry on board leading to development of the entire industry.

A press release issued by the HRAWI stated that the hospitality industry was facing a lot of problems due to lack of cooperation and support from the government and it was time for people in the restaurant and hotel industry in the State especially from Pune , Nashik and Nagpur get-together to put forward their demands.

HRAWI has appealed to the government to cooperate with them to promote the industry in the State. In its memorandum, HRAWI has demanded rationalisation of hotel taxation with respect to VAT, luxury tax, entertainment duty, prohibition and excise license fees, stamp duties and police license fees.

The association has also put forth a demand to grant of a NA permission and rationalised NA tax for hotel projects with effective renewal of land leases at hill Stations. Introduction of DC Rules on a uniform basis through-out the State ensuring parity in corporation areas to provide for additional accommodation for the tourists and rationalization of procedures under the said rules.

HRAWI also has demanded that electricity tariff be charged at industrial rates instead of commercial rates with single window licensing system for obtaining / renewing licenses.

They have also demanded promotion of specified travel circuits with inter-regional connectivity, creation of a task force to oversee the implementation of the tourism promotion policy and modification of police license regulations in tune with times especially for licensing procedures

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