Shillong hoteliers ready for new tax era

  • | Thursday | 29th June, 2017

SHILLONG: Hoteliers in the city are optimistic about the Goods and Services Tax GST ) and expressed hope that more tourists will visit the city after the new tax regime comes into effect. So even if there are initial problems, they will be solved fast. "We are happy with GST as now everything will be under one tax regime," he said.The prominent businessman added that there was no apprehension whatsoever in the minds of the hoteliers about the GST and that they have welcomed the new tax regime.Some other hotel owners in the city said they are ready for implementation of the GST. "The Meghalaya legislative assembly had a special session on June 12 last during which the Meghalaya Goods and Services Tax Bill 2017 was unanimously passed, paving the way for the rollout of the GST regime from July 1.State taxation Minister Zenith M Sangma had said that under the new tax regime, commodities used by the poorer sections of society would be considered at the lowest tax rate, while foodgrain and vegetables would be tax free. "We are happy with the GST as the effective rate has come down by 11% which will motivate more tourists to come to Shillong ," says Kishen Tibrewala, president of Shillong Hotel Association Pointing out that the tax now will come down from the earlier 29% (20% luxury tax and 9% service tax) to just 18% for the clients once the GST is implemented, Tibrewala, who owns the magnificent Hotel Polo Towers, told TOI, "It is a win win situation and a good thing".

SHILLONG: Hoteliers in the city are optimistic about the Goods and Services Tax GST ) and expressed hope that more tourists will visit the city after the new tax regime comes into effect."We are happy with the GST as the effective rate has come down by 11% which will motivate more tourists to come to Shillong ," says Kishen Tibrewala, president of Shillong Hotel Association Pointing out that the tax now will come down from the earlier 29% (20% luxury tax and 9% service tax) to just 18% for the clients once the GST is implemented, Tibrewala, who owns the magnificent Hotel Polo Towers, told TOI, "It is a win win situation and a good thing"."We are happy with GST as now everything will be under one tax regime," he said.The prominent businessman added that there was no apprehension whatsoever in the minds of the hoteliers about the GST and that they have welcomed the new tax regime.Some other hotel owners in the city said they are ready for implementation of the GST. "We have studies the pros and cons of the GST extensively and found it to be beneficial for us," said the owner of a guest house in the Laitumkhrah area of the city.He added, "Initially, there might be some confusion but the guidelines have been clearly laid down. So even if there are initial problems, they will be solved fast."The Meghalaya legislative assembly had a special session on June 12 last during which the Meghalaya Goods and Services Tax Bill 2017 was unanimously passed, paving the way for the rollout of the GST regime from July 1.State taxation Minister Zenith M Sangma had said that under the new tax regime, commodities used by the poorer sections of society would be considered at the lowest tax rate, while foodgrain and vegetables would be tax free.

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