Transforming Indian Hospitality: Hopes for GST Reform
The Hotel Association of India emphasizes the transformative potential of GST reforms, advocating for a 5% tax rate with input tax credit across hotels, restaurants, and tourism services. This move aims to enhance India's global competitiveness as a tourism destination, encouraging investment, and job creation within the hospitality sector.
- Country:
- India
The Hotel Association of India (HAI) praised the government's proposal to revamp GST slabs, which could revolutionize Indian hospitality and make it an international competitor. They advocate for a reduced tax rate of 5% with input tax credit for hotels, restaurants, and tourism services to bolster global competitiveness.
Prime Minister Narendra Modi's announcement of next-generation GST reforms on August 15 was met with approval from HAI. These reforms are seen as crucial to positioning India as a leading global tourism hub, aiming to draw 100 million foreign tourists annually by 2047.
HAI emphasized the importance of aligning tax thresholds with inflation and global standards, as current rates restrict India's competitiveness. The association has urged a review of hotel room tax brackets and proposed a uniform 5% GST rate to enhance the ease of business and stimulate economic growth.
(With inputs from agencies.)
Google News