Hospitality industry seeks financial relief from Punjab govt

Citing a slump in industry in coming years as an after-effect of the lockdown, the association members wrote a letter to chief minister Captain Amarinder Singh and the excise and taxation department

Facing financial crisis amid lockdown due to the coronavirus outbreak, the Hotels and Restaurant Association of Northern India has demanded a relief package from the state government.

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Apart from demanding deferment of the last date for making payments, including licence fee payment, the association has also demanded the Goods and Services Tax (GST) and the Value-Added tax (VAT) holiday for a year.

Citing a slump in industry in coming years as an after-effect of the lockdown, the association members wrote a letter to chief minister Captain Amarinder Singh and the excise and taxation department. They demanded a two-month extension for the renewal of licences in Punjab. They also demanded that the state government should waive-off the excise fee for the next six months.

The members further said that the validity of licence fee paid for the 2020-21 be extended till September 30, 2021. They asked the state government to defer the payment of loans and compensate 50 percent of the salaries. In addition to this, they also asked the government to waive-off the fixed electricity charges.

Association secretary Amarvir Singh said, “Neighbouring states, including Haryana and Himachal Pradesh, have already announced relief for the hospitality industry. They have also extended the dates for renewal of licences.”

Singh said the industry is in deep crisis and it is suspected that it will also have to bear the after-effects of this lockdown in the next few years. “Therefore, to save the industry from further slump, we have sought relief from the state government,” he said.