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Tamil Nadu hotels to shut down on May 30 over GST rates

As a mark of disagreement with the exorbitant tax rates under the much-awaited Goods and Services Tax (GST) Bill to be rolled out on July 1, hotels and restaurants across Tamil Nadu will observe a one-day shutdown on May 30.


According to the Tamil Nadu Hotels’ Association, over two lakh restaurants will be participating in the protest, including 1,500 bakeries, 400 restaurants and 300 small eateries in and around Coimbatore. Furthermore, the strike is also being backed by similar associations in Kerala and Pondicherry. Addressing the issue at a press conference on Thursday, Coimbatore Hotel Owners Association President D. Srinivasan asserted that the proposed rates of 12 percent and 18 percent tax for non air-conditioned and air-conditioned restaurants respectively under the new tax regime were “too high” and could discourage patrons from eating out, thus curtailing their profits.