MUMBAI: In a move that has not only surprised hoteliers but patrons too, the state excise department has increased annual excise fees recovered from all bars by 15% and as much as by 70% for wine shops.
A gazette notification to the effect was issued on Friday.
The hike has come at a time when bars and restaurants owners have been seeking 50% waiver to cope with the losses made due to a series of lockdowns.
Earlier, the fees for bars was Rs 6.93 lakh per year, which has been revised to Rs 7.97 lakh per year. For wine shops, the hike is Rs 21 lakh from the earlier Rs 15 lakh.
The Indian Hotel and Restaurant Association (AHAR), the apex body of the industry, has condemned the 15% hike in excise fees, pointing out that the hospitality industry has already been badly hit, especially the hotel and restaurant segment, owing to the frequent lockdowns imposed by the state to curb the pandemic.
AHAR said the hike would be a big blow to the industry, especially when the association had already requested the state for 50% waiver in permit room or bar licence fees to support the beleaguered industry. The administration is instead announcing such recessionary and debilitating steps which will further dent the industry, it stated.
Shivanand Shetty, president, AHAR said: "We have all the reasons to doubt the intention of the government in supporting the industry. How is the industry expected to survive such onslaughts, which are killing the industry that generates maximum employment opportunities and also revenue for the government?"
