29-04-13 …. The strike called on by the Goa Hotel and Restaurant Association received a good response with over 90 percent of establishment remaining close in support of the one day strike called on by Hotel and Restaurant Associations across India for shutting down the establishments in protest against service tax imposed on the hospitality industry.
Most of the hotels and restaurants in the capital city were noticed close throughout the day the hotel and Restaurant Associations across India and Goa, decided to close down their Establishments to protest against the newly imposed levy of Service Tax on sale of Food in all air -conditioned restaurants including partly air-conditioned.
Goa presently has more than 4000 restaurants and hotels located with various places of the state
Service Tax was first imposed on banquets, thereafter on air-conditioned restaurants serving liquor and now proposed to be imposed on all restaurants with air- conditioning including partly air-conditioned.
Speaking to media reporters president of Hotels and Restaurants Association, Goa gaurish dhond said that the central government imposed service tax specially on the smaller hotels would put up an additional burden of five percent tax which would be put on a guest entering the hotel or a restaurant when there is already a vat of the state government
Dhond said if the service tax was implemented by the central government then every customer would have to shell out five percent more from his pocket