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CBDT asked to consider inclusion of Service Charge while assessing tax: Paswan

CBDT asked to consider inclusion of Service Charge while assessing tax: Paswan

New Delhi, Sept 13 (UNI) Those hotels and restaurants which extract Service Charge from their customers can be made to pay Income Tax accordingly. Central Board of Direct Taxes (CBDT) has been asked to consider inclusion of Service Charge while assessing tax, Union Consumer Affairs, Food and Public Distribution Minister Ram Vilas Paswan said. Similarly, directions have been issued to the officers of Legal Metrology of all States to monitor the cases of charging more than MRP, Ministry of Consumer Affairs, Food and Public Distribution said in a statement today. In order to stop levying Service Charge compulsorily from consumers without their consent, guidelines were issued on April 21. A number of renowned hotels/restaurants have made Service Charge optional under the Guidelines. But still the complaints are being received through National Consumer Helpline about levying 5 per cent to 20 per cent Service Charge compulsorily by some hotels and restaurants. Some media reports have also been published in this regard. To stop this unfair practice, hotels and restaurants have been asked either to leave the column of Service Charge blank or mention on the Bill that it is optional. It means that the consumer can pay the Service Charge if he or she wants. In this regard State Governments were asked to issue directions to hotels and restaurants to display the message at an appropriate place that Service Charge is completely optional and if the consumer is not satisfied with the services of that hotel or restaurant, he or she is free not to pay Service Charge. Similarly, guidelines have been issued in April against levy of Service Charge compulsorily and consider it as an unfair trade. In addition to it, all the States have been asked to implement these guidelines strictly and sensitise the consumers about the same through publicity. These guidelines were sent to Federation of Hotel and Restaurant Association of India (FHRAI), National Restaurant Association of India (NRAI) and Hotel Association of India (HAI) also. Advertisements have also been released under ‘Jago Grahak Jago’ conveying the message among consumers that Service Charge is not mandatory but a tip which is fully a discretion of the consumer. Hotels or restaurants cannot compel the consumer to pay Service Charge. Similarly, Voluntary Consumer Organisations have also been asked to increase awareness and pick up some cases for exemplary remedial action, the statement added. UNI NY SHK 2135

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Parliament House soon to have Creche facility

20 Feb 2018 | 2:57 PM

New Delhi, Feb 20 (UNI) The Parliament House will soon be setting an example of an inclusive and supportive work environment for its women employees by establishing crèche facility on its premises.

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Cabinet approves doubling, electrification of Bhatni-Aurnihar line

20 Feb 2018 | 2:56 PM

New Delhi, Feb 20 (UNI) The Cabinet on Tuesday approved 116.

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Cabinet gives nod to Silkyara Bend-Barkot tunnel in Uttarkhand

20 Feb 2018 | 2:54 PM

New Delhi, Feb 20 (UNI) The Cabinet on Tuesday approved construction of 4.

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Cabinet approves six-laning of Nidagatta-Mysuru sec in Karnataka

20 Feb 2018 | 2:53 PM

New Delhi, Feb 20 (UNI) The Cabinet on Tuesday approved six-laning of Nidagatta-Mysuru section of NH-275 on Hybrid Annuity Mode in Karnataka.

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Fire in battery factory in Patparganj

20 Feb 2018 | 2:20 PM

No major damage was reported in the fire, which broke out at 1235 hours, fire officials said.

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