Pc: Navbharat Times
When people go on trips, they often stay in hotels, and some people may choose to book a hotel online in advance, while others get there in person. The cost of staying in a hotel can vary depending on the season, making the hotel bill either cheaper or more expensive. However, a common mistake that most people make is checking out of the hotel without reviewing the bill, which can result in paying thousands of rupees. A key aspect to pay attention to in a hotel bill is the GST charge, as knowing how much GST is applicable can be financially beneficial.
GST charges in hotels
According to the GST Council, if the daily room rent in a hotel is Rs 1,000, then 12% GST is levied on it. This means that if the room fare you have booked is Rs 7,500 or less, then only 12 percent GST will be charged. Conversely, if the hotel room price is more than Rs 7,500 per day, 18% GST will be applied to the bill. If you feel that you have been charged excessive amounts of tax, you have the right to file a complaint.
PC: Navbharat Times
Service charges in hotels and restaurants
Many hotels and restaurants charge customers a service charge, which is taken from customers as a tip for the staff. Although there is no legal obligation to pay this charge, the government has not banned it either. These service charges contribute to the taxes paid by hotels and restaurants to the government. The percentage of service charges may vary from place to place but generally, it is between 5% to 10%. All hotels and restaurants are advised to clearly mention the service charge on their menu cards. However, some locations may not provide this information.
Where to complain if a hotel charges too much?
Whether you choose to pay a service charge largely depends on the customer. If you do not want to pay a service charge, the hotel or restaurant should not force you to do so. If they involve any kind of coercion or pressure, you have the right to report the issue. You can file a complaint with the Consumer Disputes Redressal Commission by providing a copy of the bill as evidence. Alternatively, you can call the helpline number 1915 to report any problem. The hotel's actions will be investigated based on your complaint.
PC: ABP News
Tips to reduce hotel bill
Always check the room price while booking a hotel. Call and inquire about prices to avoid any confusion.
Don't overlook room tariffs or discounts available on some credit cards.
Pay only for the goods and services you use. For example, if you did not consume bottled water, you should not be charged for it.
To reduce your hotel bill, consider traveling during the off-season, when prices are lower.
