The Hotel and Restaurant Association (Western India) has asked the state government to not implement the proposed 15% hike in excise fees for fiscal 2022-23.
In fact, the association has wrote to the Excise Department seeking a relief along with waiver of 50% license fees and an extension of deadline to the fees from March 31 to June 30. The association has also asked for a four-installment leeway to pay the fees. The state government is scheduled to table its budget on March 11.
The association has reminded the Uddhav Thackeray government about the bar and eateries' struggles due to Covid-induced lockdowns, saying “restaurants in Maharashtra are the first to shut and the last to reopen” during the lockdowns. “Restaurants were made to completely remain shut for six months and 12 days during the first wave of the pandemic, and for two months and 20 days during the second wave.”
The association said that even when restaurants are allowed to operate, “severe restrictions” on operation timings and seating capacity were imposed. During the third wave of the pandemic, restaurants were operating under several stringent restrictions and due to the threat of fast-spreading Omicron variant, footfalls dropped drastically, the association said. “Bars and eateries endured a situation similar to lockdown,” the association wrote.
“Huge losses were incurred in two years due to the outbreak of Covid19 and restaurants were not able to generate revenue commensurate with such hefty license fees,” the association conveyed.
It said that the matter of excise fee hike for the previous fiscal (2020-21) was already pending before the Bombay High Court. “The court has protected the sector's interests in its orders dated May 6 and 13, 2021. Therefore, the fee hike has no basis,” the letter stated.
Meanwhile, the Excise Department has called for suggestions and objections from citizens regarding the sale of wine in supermarkets and walk-in stores.
