Restaurant in Delhi not to wait for 3 months for license to serve liquor, says Commissioner, Excise, Entertainment & Luxury Tax, NCT of Delhi

Restaurant in Delhi not to wait for 3 months for license to serve liquor, says Commissioner, Excise, Entertainment & Luxury Tax, NCT of Delhi

Restaurant in Delhi not to wait for 3 months for license to serve liquor, says Commissioner, Excise, Entertainment & Luxury Tax, NCT of Delhi

 

No.PR-152
December 10, 2014
New Delhi
 

Restaurant in Delhi not to wait for 3 months for license to serve liquor, says Commissioner, Excise, Entertainment & Luxury Tax, NCT of Delhi
 

The government of NCT of Delhi on Wednesday refused to withdraw the luxury tax on banquets and gym centres on ground that their owners provide services in comfortable environment and that this demand cannot be entertained until the popular government is formed in the NCT of Delhi, its Commissioner (Excise, Entertainment & Luxury Tax), Mr. Neeraj Semwal indicated here today.
 

He, however, hinted that the present government of NCT of Delhi would issue liquor licenses to restaurant owners the day they commence their operations instead of making them wait for current mandatory limit of three months.
 

Addressing an Interactive Session on Taxation Issues in NCT of Delhi under aegis of PHD Chamber of Commerce and Industry, Mr. Semwal informed that owners of banquets and gym centres have been pressurizing the government of Delhi for repeal of luxury tax on their services for quite sometime.
 

It reviewed the demand several times in perspective and found out that these centres provide services to their clients in an AC run atmosphere with all physical comforts and found out little rationale in withdrawing the tax and thus arrived at the conclusion, that the status quo be retained on luxury tax on banquets and gym centres, he pointed out.
 

On being asked by a member of PHD Chamber present on the occasion if the mandatory limit of three months can be withdrawn after a restaurant is opened up to serve liquor with its immediate operations, Mr. Semwal said, the government would examine the issue in favour of restaurant owners without any delay on it.
 

The commissioner (VAT), Department of Trade & Taxes, Government of Delhi, Mr. Sanjeev Khirwar who was also present on the occasion said that the trading community in Delhi was not responding as per its expectations to settle the cases of refunds of various taxes and their carry forward despite an intense drive being launched by the government to resolve the issues.
 

“Close to 8,000 cases relating to refunds that the government wanted to settle for 2013-14, so far, the success ratio has been that of 327 traders.  This has been the response though the government would continue to further intensify this exercise in times to come”, he said.
 

The Chairman, Direct Taxes Committee of the Chamber Mr. J K Mittal urged that Exports should be exempted from VAT. Various important tax issues taken up by industry were High penalty on mismatch of 2A and 2B form, practical issues in filing of VAT returns online, Frequency of VAT audit, etc.
 

ENDS

Koteshwar Prasad Dobhal
Consultant (PR)