Mysuru: It came as a weekend shocker to many. As tourists and locals sauntered into the famous Mylari hotel to enjoy its mouthwatering Mylari dosa, and other 150 hotels in the city on Saturday, they had a rude shock. Thanks to GST, they had to shell out 12 per cent more than usual on their bills at hotels without airconditioning and 18 per cent more if they happened to have it.
Of the 750 hotels in Mysuru, at least 150 have implemented GST and the rest are in the process of doing so, says Mysuru Hotel Owners' Association head, Narayangowda C.
For the people it means emptier pockets when eating out. "Last week I paid Rs 75 for one masala dosa at a hotel, but today I paid Rs 84 for the same dosa all thanks to GST," said Mr Deepak P, a techie from the city, who had come home for the weekend from Bengaluru, where he works.
Tourists to the city like Ms Suma Suresh, who had come from Bengaluru with her family for the weekend, too found the bills much heavier on their pockets.
"Fifteen of us had a South Indian meal for Rs 75 each at a hotel and had to pay Rs 135 extra on a bill of Rs 1,125 due to GST," she said.
Admitting that the tax has mainly hit the middle class, who prefer medium range hotels, Mr Narayangowda explains that while customers didn't have to pay any tax at these hotels in the past, they are now having to shell out a 12 per cent tax at non -AC hotels and an 18 per cent tax at AC hotels due to GST. "For hotels, and bakeries which serve packed items and do business of over Rs 20,500 a day, the tax rates have increased from 4 per cent to 12 per cent. And for AC hotels and ice cream parlours doing business of over Rs 20,500 per day, the tax has increased from around 6 per cent to 18 per cent," he adds.
