Bengaluru: Member-restaurants of the Bengaluru Hoteliers' Association will hold a token bandh on Tuesday to oppose the Centre's plans to roll in GST, which will increase the prices of eatables. Hoteliers said the tax is draconian and will affect the common man.
Association vice-president P.C. Rao said, "We now pay 4% tax to the government, which is from our own pocket, and we don't burden the customer. If the government goes ahead with the proposed tax hike of 12% for non AC hotels and 18% for AC hotels, we feel this will affect the common man." Though star hotels will be able to manage, smaller ones will have to charge the customer 12% extra on the bill to pay the tax. "Almost everybody, from IT professionals to labourers, go to hotels or food courts at least once a day. The tax increase will affect the people, especially the poor," he said.