FAITH urges CMs for relief on statutory obligations

FAITH has urged the chief ministers of all states for proportionate relief on statutory obligations to the pandemic hit tourism industry and other measures. With almost no business expected for tourism, travel and hospitality companies they have requested a complete waiver of all statutory expenses for FY 2021-22 without any penalties. These expenses include all fixed electricity and other utility charges, excise duties, property taxes, interstate tourist transport taxes, waiver of SGST, or any other local taxes.

They have also asked for an automatic renewal of all licenses, permits, permissions, which were expiring in FY 2021-22 without any financial charges or penalties; Industry status for tourism travel & hospitality; refund of unutilised GST credit lying with state governments to the tourism, travel & hospitality players to get immediate liquidity; reduction of VAT on state aviation turbine fuel and special reduction of state level airport taxes to incentivize travel; reduction of license fees for performance & events to boost state MICE. For unorganised workers working with the tourism sector, who don’t have the safety net of PF/ ESI, coverage of sustenance wages and medical condition as a grant with ‘direct transfer’. Special recognition of tourism travel and hospitality micro small & medium enterprises choosing work from home services as an additional option under the relevant provisions. FAITH further asked for permission to leverage open spaces such as terraces and adjacent areas for F&B to enable compliance with social distancing norms while also enhancing the eating out experience to stimulate the industry demand. Other demands include state level tourism task force along with representatives all FAITH member associations; liquor VAT under GST and reduction of state liquor VAT / excise to stimulate overall tourism inflow; a mandatory vaccination of all tourism front line staff 18+ to be able to create confidence in the tourists travelling to the state and a tourism consumer demand promotion plan and an incentive structure for tourism, travel & hospitality companies.

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