Restaurateurs and bar owners decide not to pay the annual fee to renew their liquor licence till the state extends closing time
Hoteliers and bar owners say sizeable crowds start coming in only after 8pm, so the deadline makes no sense. Representation pic
The hospitality industry, which had slowly started recovering after last year’s lockdown, claims that their businesses have been stalled again by the ‘night curfew’, which is as good as a lockdown as the bulk of their business starts only after 8 pm. The closing time and the annual liquor licence fee has become a main point of contention for hoteliers.
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AHAR members with CM Uddhav Thackeray
President of Indian Hotel and Restaurant Association (AHAR) Shivanand Shetty said, “The 8 pm-7 am time restriction is a lockdown for restaurants. We have been adhering to stringent SOPs and supporting the administration but this latest move came without consulting the industry and also at the wrong time.
No proven research says that COVID is more contagious during the night or that restaurants are culprits.” The annual state excise licence for bars and restaurants ended on March 31. Though the state government has extended the deadline to renew the licence by 10 days, most hoteliers are unwilling to renew it until the government reworks the closing time.
“On average, one bar and restaurant has to pay an annual liquor licence fee of Rs 6 lakh. Our business starts only at night after 8 pm. Why should we pay the fees if we have to close at 8 pm?” said Prakash Hegde, president, Vasai Taluka Hotel Association.
Hegde also conducted a meeting with hoteliers from Vasai taluka on Thursday to discuss the crisis. On Friday, hotel associations from Vasai-Virar, Mira-Bhayandar, Thane, Kalyan, Dombivli, Navi Mumbai, Bhiwandi and Ulhasnagar conducted a joint meeting in Thane.
A united stand
The associations unanimously decided to not pay the annual licence fee for liquor till the closing time for restaurants and bars is extended. “The government should allow us to operate till 11 pm. We cannot survive if we close at 8 pm,” said Thane-based hotelier Pritam Singh.
“We should also be allowed to pay the liquor licence fee in instalments. Today it is a night curfew, will it be a full lockdown tomorrow? The licence will be wasted,” Singh added.
Virar-based hotelier Vihang Mhatre said, “The night curfew has left us with just 20 per cent of the usual business. Vendors of vegetables, dairy products, chicken, water, etc. connected to us are also suffering. We need an extension in closing time till at least midnight.”
Shetty added, “The lockdown closed many businesses and the ones that survived are only just recovering without any support from the government. How do we pay staff salaries? The industry has been pushed into uncertainty.”
AHAR has made a representation to Chief Minister Uddhav Thackeray regarding the instalments and has been assured that the request would be looked into.
“The government is entitled to collect taxes and other fees from businesses only if it allows smooth functioning. It is depriving us of our constitutional right to do business with taxes amid such restrictions,” Shetty said.
20%
Proportion of business hoteliers are left with amid night curfew
10
No. of days’ extension given by state for licence fee payment
Rs 6
Average liquor licence fee (in lakh) of one bar and restaurant
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