After pushback from hotels, state halves orchestra bar licence renewal fee hike to 5%

It also decided to defer the implementation of the licence fee hike from January 1, 2018, to January 1, 2020 and grant concessions on the fees for the Covid-19 period in 2020-2021.

Mumbai: The Maharashtra government on Tuesday reduced the annual increase in licence renewal fees for orchestra bars from 10% to 5%. It also decided to defer the implementation of the licence fee hike from January 1, 2018, to January 1, 2020 and grant concessions on the fees for the Covid-19 period in 2020-2021.

It also decided to defer the implementation of the licence fee hike from January 1, 2018, to January 1, 2020 and grant concessions on the fees for the Covid-19 period in 2020-2021. (Satish Bate/HT PHOTO)

Mumbai Police Commissioner’s office issued a notification on December 4, 2019, announcing ₹2 lakh as premises licence fees and an annual 10% hike for renewal. This was applicable from January 1, 2018 with retrospective effect. The Indian Hotel and Restaurant Association filed a writ petition in the Bombay High Court against the order, challenging the hike and the date of new rates.

“As the matter was in court, the government realised that most orchestra bars were not paying the premises and performance licence fees. To resolve these issues, the government discussed the matter with the Indian Hotel and Restaurant Association. Accordingly, it was decided to apply the ₹2 lakh premises licence fee starting in January 2020, not retrospectively from 2018. It was also decided to charge a 5% annual renewal fee for premises licence fees instead of 10% as stated in the earlier 2019 notification,” stated the government resolution issued by the home department on Tuesday.