charging of service charges
The charging of service charges are not justified in the Restaurant and eating places.
1)It should be made mandatory for these establishments that they should make their menu prices by including levy of any charges that is payable by them as service charges.
This is could be done by the appropriate authorities by sending them the rules they have to follow.
2) The customer should know the price he will have to pay when he orders and he is not supposed to calculate how much will be final payment after adding other charges.
3) It is the responsibility of the management to pay their employees and the should not look at the customers to fill the gap of the payments they make to the employees.
4) It should be left to the customer as how much he should leave the tip to the waiters as it depends on the quality of the food and the service more
1)It should be made mandatory for these establishments that they should make their menu prices by including levy of any charges that is payable by them as service charges.
This is could be done by the appropriate authorities by sending them the rules they have to follow.
2) The customer should know the price he will have to pay when he orders and he is not supposed to calculate how much will be final payment after adding other charges.
3) It is the responsibility of the management to pay their employees and the should not look at the customers to fill the gap of the payments they make to the employees.
4) It should be left to the customer as how much he should leave the tip to the waiters as it depends on the quality of the food and the service more
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Why to pay for the service Charges? It is their duty to serve the people. Why even to pay Tips? Why? The waiters are getting salaries and tips are paid by the rich customers to show their "kind heart". In my opinion , it is just forming a bad habit . All should be just in one MRP. The habits of Tips is so bad , that in Trains, in restaurants, In Hotels, in Transport, watchmen, every one is begging in the name of service or Tips!! Hardly any one works real hard which is 'some thing extra' or out of the way, then you feel like to pay Tips. All must stop this indirect way of begging.!! Service Taxes should be banned with immediate effect. more
Jan 19
Restaurants abroad display their menu cards with cost of items on their windows. I have seen this in Washington, USA in 1983. So one can decide whether or not to enter the restaurant based on the menu and the prices displayed. L.Kalavathi Retd. Bank Official Chennai, Tamilnadu, India 8th Jan 2017 more
Jan 08
As far as I know at present no restauranter charges 'service charge' separately as the Service Tax authorities have a peculiar way of deciding how much service tax has to be paid. It is assumed that total bill amount includes service charges to the Tune of 17% and that amount is charged @40%. more
Jan 08
Service Charges in Hotels and Restaurants - Withdrawal of Concession by EU Commission Revenue has, for a number of years, operated a concession whereby service charges in hotels and restaurants were not regarded as part of the taxable amount if they were distributed in full to staff. This concession operates widely throughout the hotel and restaurant sector, and was presented as a way of ensuring that staff in this sector could receive gratuities intended for them, but included on the bill presented to a customer, without these gratuities being subject to VAT. It was conditional on the hotels or restaurants not converting any part of the charges for their own benefit. The European Court of Justice has found that any amount which a supplier (restaurant, hotel, etc.) is entitled to receive forms part of the taxable amount Therefore, service and other charges that are included on the bill presented to the customer are liable to VAT. Withdrawal of Concession Revenue has withdrawn the concession . hotels and restaurants must account for VAT on all amounts included on bills to customers. Voluntary payments (tips) made by customers and not included in the bill presented to the customer will continue to be outside the VAT more
Jan 08
