Mumbai: State food and civil supply minister Girish Bapat has warned hotel owners and shopkeepers to not charge more in the name of Good Service and Tax (GST) than the rate of 5 per cent as reduced by the GST Council. He has requested restaurateurs and hotel owners to pass on the benefits of the reduced tax to the consumers. Meanwhile, the Food, Drugs and Administration (FDA) and Legal Metrology Department (LMD) have said that they will undertake measures to ensure that all the hotels and restaurants implement the reduced GST rate.
The state government has asked the hoteliers to pass on the benefits of the reduced tax rates to the customers and has directed the authorities to take appropriate legal action on those who are not following the direction, said Mr Bapat.
Talking to The Asian Age, LMD controller Amitabh Gupta said, “We are always ready to act on the complaints we receive and since this was just announced a day ago, we are keeping a close watch.”
“If a customer wants to seek help or enquire about the rule, they can contact us on 022-22622022,” he added.
According to the FDA commissioner Pallavi Darade the department is always vigilant about the malpractices. “Reducing the GST from 18 per cent to 5 per cent is a good move by the government,” she said.
The LMD department will be keeping a tab on the hoteliers to ensure that they do not charge more than 5 per cent GST, according to the central finance ministry announcement.
The department will also ensure that all the taxes applicable on the amount are mentioned on the bill before the final payable amount.
