Representational imageThiruvananthapuram: The Kerala Hotel and Restaurant Association (KHRA) on Saturday decided to reduce the hiked food price in hotels. It has also decided to reduce the input credit bill received through Goods and Service Tax (GST).
Customers will now be taxed only 7 percent GST in non-AC restaurants and 10 percent in AC restaurants. Patrons at non-AC and AC restaurants currently pay a tax of 12 percent and 18 percent respectively.
This will come to effect within two days, KHRA president Moydeenkutty told Manorama News.
Finance minister Thomas Isaac had earlier informed that there would be a 13 percent increase in hotel food prices. He had also said that it was difficult to bring down the rates without reducing the input credit bill.
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