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Soon government will scrap service charge from restaurants

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Government gave the customers an option if they want to pay service charge or no, but now government is deciding for removal of service charge completely, it will be not mandatory to pay service charge any more.

According to PTI reports, “It is wrong to levy service charge on bill. Let customers decide if they want to pay it. Else, hotels can ask customers before charging it. We have sent advisory to the PMO (Prime Minister’s Office) in this regard,” Paswan said. Restaurants deliberately adds service charge in there bills, so this news will give some relief to the people and it will cut some amount from the bill.

Also Read: Pepsi to sell bottled water at same MRP across India- Paswan


Earlier in this year, the government had asked all the restaurants and hotels to put up notices stating ‘service charge is voluntary’. It gave the visitors an option of paying the charge only if they are satisfied with the service. The Union Ministry of Consumer Affairs, Food and Public Distribution had said that service charge on food bill wasn’t compulsory and that customers could ask for it to be waived if they weren’t satisfied with the experience.

Paswan also said “establishments printing dual MRPs on products will be met with action. It is against the law. Action will be taken in such cases. There has been some success in this regard. Pepsi’s Aquafina has decided to charge same MRP across the country”.

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