Archive · 26 Sep 2025
GST Cuts: Hotel Sector Demands More, Congress Questions
The government recently reduced some taxes (GST), but a hotels association says that it doesn't help customers because their costs remain high due to taxes on rent and gas.
They want the government to reduce taxes on these items too so that they can pass the savings to their customers.
Meanwhile, a political party has criticized these recent tax cuts, saying the cuts are just for show, and they are questioning how the government has spent the money collected from these taxes over the past several years.
Karnataka Hotels Association says customers are not seeing real benefits from GST reductions.
The association seeks cuts on rent and LPG taxes to lower costs and prices.
The Congress party criticizes the GST cuts as a 'political drama'.
Congress questions how GST funds have been utilized over the past eight years.
Both groups have differing views on the impact of recent tax cuts and their implications.
- Who
- Hotel Association, Congress party
- What
- Are responding to GST rate reductions
- When
- Recent
- Where
- Karnataka
- Why
- Differing views on the impact of GST cuts and revenue management
Hotel Association
Congress Party
Impact of GST Cuts
Hotel Association
Wants further GST reductions to benefit customers.
Congress Party
Criticizes GST cuts as a political move
Revenue Management
Hotel Association
Concerned about high operational costs and the need to remain competitive
Congress Party
Questions the use of past GST collections
- GST on Hotel Rentals
- 18%
- GST on LPG for Hotels
- 18%
- Hotel Association Concern
- Customers not benefiting from GST cuts
- Congress Criticism
- GST reductions a 'political drama'
Sources
Despite GST rate cut, Karnataka Hotel Association flags inability to reduce prices — Here's why
GST 2.0 rate cuts to rev up growth in Delhi’s MSME, trade & hospitality sectors
GST cut to reduce AC prices by `2,000–3,000
GST rate cuts flayed; Cong questions eight years of revenue management