Gurbaxish Singh Kohli, vice president, FHRAI, said, “There are quite a few budget hotels that offer accommodations in the Rs 2000 tariff per day per room. Increasing the present zero GST threshold to Rs 2000 will give these budget hotels a chance to revive the business. The hospitality sector is engulfed in massive losses and mounting debts due to the pandemic and it is dealing with a very gloomy economic situation with no respite in near sight. This move will boost the lower budget hotel segment, which will encourage more domestic travellers to take vacations, aiding the tourism sector.”
“The Hospitality sector is dealing with a very gloomy economic situation with no foreseeable respite. Being the first sector affected by Covid-19 and the last to revive, the hospitality sector in the country is waging a battle for its existence. This unprecedented crisis has destroyed the entire hospitality eco-system in the country which would take many years to recover. Therefore, only some extraordinary measures and support from the Government can save the industry at this time of deep crisis,” concluded Kohli.