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Time of India
12-07-2025
- Business
- Time of India
Maharashtra bars, permit rooms declare bandh on July 14 to protest tax hikes
Over 20,000 bars and permit rooms across Maharashtra will shut operations on July 14 to protest against the state government's "draconian taxation", said the Indian Hotel and Restaurant Association (AHAR) on Saturday. The bandh is to oppose the state government's tax hikes, including rise in VAT (value added tax) on liquor to 10 per cent, a 15 per cent increase in annual licence fees and a 60 per cent spike in excise duty, in a span of one year, AHAR said in a statement. These tax hikes are pushing the Rs 1.5 lakh-crore industry to the edge of collapse, it said. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Play War Thunder now for free War Thunder Play Now Undo "The entire hospitality sector in Maharashtra is bleeding. Our pleas have fallen on deaf ears. On July 14, every bar and permit room in the state will be shut in protest. Entire Maharashtra bars will remain shut against the state government's draconian taxation," AHAR president Sudhakar Shetty said. Members across Mumbai, Pune, Nashik, Nagpur, and Konkan have confirmed full participation, he added. Live Events These hikes, clubbed with ongoing post-COVID recovery challenges, have rendered the business model unviable for thousands of establishments, said AHAR. The move will not only wipe out thousands of small and mid-sized businesses but also lead to mass unemployment and a black market surge in liquor smuggling from neighbouring states, it claimed. "This is not just an economic blow, it is a death blow to an industry that contributes significantly to employment and state taxes," said Shetty. The 20,000-strong permit rooms and bars industry directly and indirectly employs over 20 lakh jobs, and supports a wider ecosystem of 48,000 vendors. National Restaurant Association of India (NRAI), Hotel and Restaurant Association (Western India) - HRAWI, and affiliated as well as non-affiliated associations of hotels and restaurants in Maharashtra have extended their support to the July 14 bandh. The industry also plays a vital role in Maharashtra's tourism-driven economy, especially in cities like Mumbai and Pune, they said. "We stand united with our fraternity members across Maharashtra in expressing our deep concern over these regressive policy measures. If implemented, they will further strain the already fragile business environment and will hurt both consumers and operators. "This peaceful protest is intended to draw urgent attention to the disproportionate impact of the move," HRAWI president Jimmy Shaw said.
Mint
12-07-2025
- Business
- Mint
Maharashtra bars, permit rooms declare bandh on July 14 to protest tax hikes
Mumbai, Jul 12 (PTI) Over 20,000 bars and permit rooms across Maharashtra will shut operations on July 14 to protest against the state government's 'draconian taxation', said the Indian Hotel and Restaurant Association (AHAR) on Saturday. The bandh is to oppose the state government's tax hikes, including rise in VAT (value added tax) on liquor to 10 per cent, a 15 per cent increase in annual licence fees and a 60 per cent spike in excise duty, in a span of one year, AHAR said in a statement. These tax hikes are pushing the ₹ 1.5 lakh-crore industry to the edge of collapse, it said. 'The entire hospitality sector in Maharashtra is bleeding. Our pleas have fallen on deaf ears. On July 14, every bar and permit room in the state will be shut in protest. Entire Maharashtra bars will remain shut against the state government's draconian taxation,' AHAR president Sudhakar Shetty said. Members across Mumbai, Pune, Nashik, Nagpur, and Konkan have confirmed full participation, he added. These hikes, clubbed with ongoing post-COVID recovery challenges, have rendered the business model unviable for thousands of establishments, said AHAR. The move will not only wipe out thousands of small and mid-sized businesses but also lead to mass unemployment and a black market surge in liquor smuggling from neighbouring states, it claimed. 'This is not just an economic blow, it is a death blow to an industry that contributes significantly to employment and state taxes,' said Shetty. The 20,000-strong permit rooms and bars industry directly and indirectly employs over 20 lakh jobs, and supports a wider ecosystem of 48,000 vendors. National Restaurant Association of India (NRAI), Hotel and Restaurant Association (Western India) – HRAWI, and affiliated as well as non-affiliated associations of hotels and restaurants in Maharashtra have extended their support to the July 14 bandh. The industry also plays a vital role in Maharashtra's tourism-driven economy, especially in cities like Mumbai and Pune, they said. 'We stand united with our fraternity members across Maharashtra in expressing our deep concern over these regressive policy measures. If implemented, they will further strain the already fragile business environment and will hurt both consumers and operators.
Time of India
12-07-2025
- Business
- Time of India
Excise policy protest: Maharashtra bars, permit rooms to shut on July 14; Industry body calls tax hikes 'draconian'
More than 20,000 bars and permit rooms across Maharashtra will observe a one-day bandh on July 14 to protest what the hospitality sector has called 'draconian' tax hikes by the state government, the Indian Hotel and Restaurant Association (AHAR) said on Saturday. The association said the shutdown is aimed at opposing multiple tax increases imposed over the past year — including a 10% VAT on liquor, a 15% hike in annual licence fees, and a 60% surge in excise duty — which it claims are threatening the survival of the Rs 1.5 lakh-crore industry, PTI reported. 'The entire hospitality sector in Maharashtra is bleeding. Our pleas have fallen on deaf ears. On July 14, every bar and permit room in the state will be shut in protest,' AHAR president Sudhakar Shetty said in a statement. He added that members from Mumbai, Pune, Nashik, Nagpur, and Konkan have confirmed participation. AHAR warned that the aggressive taxation regime, coupled with post-COVID recovery challenges, is making the business model unsustainable for thousands of establishments. 'This is not just an economic blow, it is a death blow to an industry that contributes significantly to employment and state taxes,' said Shetty. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Dementia Has Been Linked To a Common Habit. Do You Do It? Memory Health Click Here Undo The permit room and bar segment, which supports over 20 lakh jobs both directly and indirectly, also sustains a wider network of nearly 48,000 vendors across Maharashtra. The industry fears the hike in liquor-related levies could lead to mass unemployment and a spike in black-market alcohol smuggling from neighbouring states, further weakening state revenues. Several major industry bodies, including the National Restaurant Association of India (NRAI) and Hotel and Restaurant Association (Western India) – HRAWI, along with various affiliated and unaffiliated hotel and restaurant associations across the state, have extended support to the bandh. 'We stand united with our fraternity members across Maharashtra in expressing our deep concern over these regressive policy measures. If implemented, they will further strain the already fragile business environment and hurt both consumers and operators,' said HRAWI president Jimmy Shaw. AHAR urged the Maharashtra government to roll back the tax increases and initiate discussions with stakeholders to avoid long-term damage to one of the state's key employment-generating and tourism-supporting sectors. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
11-07-2025
- Business
- Time of India
To protest ‘death blow' by 3 tax hikes, 20k bars in state to shut on Monday
Mumbai: Be prepared to be refused liquor in the city's restaurants and bars on Monday. For, over 20,000 bars and permit rooms in the state will shut operations as part of a one-day strike to protest the "draconian tsunami" of three tax hikes in a year. Accusing govt of killing jobs, destroying tourism prospects and ignoring the hospitality industry's pleas, Association of Hotels and Restaurants (AHAR), the apex body of restaurants and bars in the state, said the "relentless and unjust" tax hikes are pushing the Rs 1.5-lakh crore industry to the brink of collapse. "The entire hospitality sector in Maharashtra is bleeding," said Sudhakar Shetty, president of AHAR. You Can Also Check: Mumbai AQI | Weather in Mumbai | Bank Holidays in Mumbai | Public Holidays in Mumbai Within the past year, VAT on liquor was hiked from 5% to 10%, then annual license fees raised by 15%, and more recently, excise duty was increased by 60%. AHAR said these hikes, clubbed with ongoing post-Covid recovery challenges, have rendered the business model unviable for thousands of establishments. It warned that they will not only wipe out thousands of small and mid-sized businesses but also lead to mass unemployment and a black market surge in liquor smuggling from neighbouring states. The 20,000-strong permit rooms and bars directly and indirectly employ over 20 lakh people and support a wider ecosystem of 48,000 vendors, it said. "The hikes are not just an economic blow; they will serve a death blow to an industry that contributes significantly to employment and state taxes," said Shetty. "These draconian hikes are the final nail in the coffin... Our survival is at stake." National Restaurant Association of India, Hotel and Restaurant Association (Western India), and affiliated and non-affiliated associations of Hotels and Restaurants in Maharashtra have extended support to the strike.
The Hindu
10-07-2025
- Business
- The Hindu
AHAR asks Maharashtra Govt. to roll back tax hikes
High taxes and levies have endangered Maharashtra's hospitality industry's future as well as the livelihoods of millions, the Indian Hotel and Restaurant Association (AHAR) said on Wednesday (July 9, 2025). In less than a year, the industry has faced back-to-back financial shocks which include increase in Value Added Tax (VAT) on liquor from 5% to 10%, 15% hike in license fees for FY26 and surge in excise duty by a whopping 60%. AHAR has cautioned that the recent policy decisions by the State government would push the industry towards collapse. 'This is not just an economic blow; it is a death blow to an industry that contributes significantly to employment and state taxes,' Sudhakar Shetty, President, AHAR, said while addressing a press conference. 'These draconian hikes are the final nail in the coffin. Our members are devastated and starring at a bleak future. From Excise renewal fees hike to an unprecedented hike in VAT and Excise Duty, our survival itself has become a question mark,' he said. 'We appeal to the government to engage with the industry and initiate urgent steps to roll back the tax hikes,' he added. According to AHAR these taxes will have far-reaching consequences as the hospitality industry in Maharashtra has over 19,000 legal permit rooms and lounge bars and the number growing by 8% annually. While the industry directly employs more than 4 lakh individuals and supports around 48,000 vendors about 18 lakh people are indirectly dependent on this sector for their livelihoods. 'Tax evasion and corruption are bound to rise as liquor from neighbouring states will make its way into the state through illegal channels. Burdening such a large ecosystem with excessive taxation will have a cascading impact—not only on businesses but on employment, ancillary industries, and consumer sentiment as well,' AHAR said. It emphasised that all its members had expressed strong displeasure over the government's apathy. Many fear they would not be able to continue operations under such pressure, the AHAR president said. The Association has urged the government to immediately reconsider these policies and engage in dialogue with the industry before implementing any further changes.
