Hospitality sector seeks roll back of service tax
Hospitality sector seeks roll back of service tax
Budget 2011-12, Mukherjee proposed to impose additional tax on hotel accommodation.

New Delhi: Representatives of hotel and tourism sector on Monday urged Finance Minister Pranab Mukherjee to roll back the proposed 10 per cent additional levy of service tax on the industry.

"For an industry which is people intensive with an enormous multiplier effect, the government should give a boost not a further tax burden," Jyotsna Suri, chairperson of FICCI tourism committee, said at a press conference here.

"We request the finance minister to roll back the proposed levy, leaving the present taxation level as status quo," said Suri, who is also chairman and managing director of Bharat Hotels.

In the union budget for 2011-12, Mukherjee proposed to impose additional tax on hotel accommodation and on services provided by air-conditioned restaurants that have licence to serve liquor.

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