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FHRAI delegation demands uniform GST at 12% for hospitality industry

Advocates a one nation one hospitality tax

Friday, June 2, 2017, 12:00 Hrs  [IST]
By HBI Staff | Mumbai

A senior delegation of The Federation of Hotels Restaurants Association of India (FHRAI) India’s apex body for Hotels & Restaurants presented a representation to Union Finance Ministry Officials on Wednesday. Highlighting that the proposal of 28% GST slab will adversely impact the hospitality and tourism industry, the delegation requested the Government to relook at the present proposal and advocated a uniform hospitality GST at 12% across the country.
The delegation further requested the Government to relook at the luxury tax limit of INR 5000 and enhance it suitably as is followed in most of the countries The World-over since; INR 5,000 (USD 75) cannot be considered luxury today. The service tax proposal under the new GST regime has been set at 28% for Hotel tariffs above INR 5,000.
FHRAI is the third Largest Hotel & Restaurant Association in the World and its delegation was led by K. Syama Raju, President along with Garish Oberoi, Vice President, Dilip Datwani, Vice President, T.S. Walia, Vice President, Surendra Kumar Jaiswal, Jt. Secretary, T. Nataraajan, Executive Committee Member and Amitabh Devendra, Secretary General met Senior Finance Officials of the Government of India, who were gracious enough to meet the delegation on May 31, 2017.

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