Shimla hoteliers have opposed the decision of Shimla Municipal Corporation (SMC) to hike in water rates and the proposed increase of property tax.
“The Hoteliers of Shimla are highly agitated due to the decision of the civic body to increase the rates of water and proposal to increase the Property Tax.
The corporation is ignoring the viability factor of the Hotel Industry which is the only Industry in Himachal giving more than 95% employment to Himachalies, instead it is just concerned about the increase of their revenue ” said M K Seth, President Tourism Industry Stake Holders Association.
The SMC recently increased the Garbage Collection Fee by 35 percent for all category of hotels and 100 percent for small hotels up to 10 rooms in the month of March 2018 and it is very unfortunate that for small hotels instead of rationalizing the increase of 35 percent for all the category of hotels the corporation has further Increased the rate of small hotels by another 30 percent within three months, he said.
Now the Hotel Industry is being burdened by increasing the water rates by 10 percent, despite of the highest rates of water being charged from the hotels, he rued.
Seth said, “The hotel Industry is collapsing due to lack of viability because of highest rates of Water, Property Tax, Sewerage Cess and Garbage Collection fee being charged from the hotels by the civic body.