Service Charge

Why must India tread cautiously as it joins IPEF? Are eateries taking service charge illegally? What's the investment mantra of ICICI Prudential AMC's S Naren? What is monkeypox? All answers here

On Monday, the government said that eateries were illegally charging service tax from consumers. The eateries association, on its part, has denied it. Are eateries taking service charges illegally?

Ahead of its June 2 meeting with govt, the top hotel industry body said that the levy of service charge is a matter of individual policy to decide if it is to be charged or not.

In April 2017, the ministry had issued guidelines on charging of service charge by hotels/restaurants

The CBDT said that the Consumer Affairs ministry has brought this issue to its notice

Consumers can approach consumer court if they are forced to pay service charge: Ram vilas Paswan

Next time you go to a hotel or a restaurant, you can exercise your discretion to pay the service charges or not. In case eateries make these charges mandatory, customers can approach Consumer Disputes Redressal Commission or Forum.The Centre on Friday issued a series of guidelines that make payment of service charge in hotels and restaurants absolutely voluntary. And the hoteliers have to clearly mention in their invoice and bills that these are voluntary. However, this drew flak from restaurant owners and hoteliers. The guidelines say service charges are "totally voluntary and not mandatory". The guidelines will be sent to states for necessary action, Food and Consumer Affairs Minister Ram Vilas Paswan said.Hoteliers and restaurants owners meanwhile were adamant in levying the service charge on the grounds that unless the guidelines are made into a law it cannot be enforced."We do mention the service charge in our bills and invoices and if any customer does not want to pay it, he or .

Hotels and restaurants will not decide on service charge to be levied, says Ram Vilas Paswan

PMO's help sought to scrap service charge; even mentioning service charge in the invoice is illegal

Paswan said consumers should be informed about service charge in menu card itself and not in bill

The operating cost of restaurants will increase, say restaurateurs

They say the law is just making it tough for a server as minimum pay wage is not enough to survive

Full legal right not to do so, govt states; not really, says hotels body

Eateries must inform customers that the charge will be waived if they aren't happy with the service