GST protest: Stock up Bengaluru, Hotels and medical shops to down shutters tomorrow
- The Centre has proposed a new GST rate on hotels, while not cracking down on online medicine sales
- Restaurant industries are not happy with 12-28 per cent GST, and the online sale of medicines is a threat to medical shops
- Both of them have decided to a hold a 'shutter down' protest in Bengaluru tomorrow
Keep some extra food and medicines as hotels and medical stores will be shut on May 30 from 6 am to 6 pm in Bengaluru and other prominent parts of the state. While hotels are protesting against the Centre's move to levy a new rate under the Goods and Services Tax (GST), medical stores are opposing the online sale of medicines.
Opposing the Central government's decision to levy 12-28 per cent rate under the GST, the hotel industry has called for a protest. As per the new proposal under the GST, the Union government proposes to levy 5 per cent tax on small restaurants which have an annual turnover of less than Rs 50 lakh, 12 per cent tax on non-Ac restaurants whose annual turnover is above Rs 50 lakh and 18 per cent on restaurants with air conditioners.
The hotel industry is of the opinion that the GST would have a bad effect, especially considering that the restaurant industry was the 3rd largest service industry in the country , reports The Hindu. Although the tax rate is yet to be implemented, the hotel industry feels that such a move is unscientific. Interestingly, hotels in hospital premises will work as usual, said Bruhat Bengaluru Hotels' Association president B Chandrashekhar Hebbar, reports Vijay Karnataka.
Meanwhile, medical shops are protesting against the online sale of medicines - that are an existential threat to them. The online sale of medicines is a violation of the provisions of Drugs and Cosmetics Act, 1940 which only enables dispensation of medicines under the supervision of a pharmacist. Besides, pharmacists claim, the online sale of medicines will have little restriction on the sale of narcotic and psychotropic medicines.
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The protest is being held in response to the nationwide strike called by the All India Organisation of Chemists and Druggists and the Karnataka Chemists and Druggists Association.