Welcome

 

Chandigarh - Hotel charges VAT but does not give bill, told to pay up

Holding that it is mandatory for any hotel or restaurant to issue a printed bill if it charges value added tax (VAT), the District Consumer Disputes Redressal Forum has directed a restaurant to pay compensation and refund the amount charged as VAT.



 

By not issuing a printed bill to the customer after charging VAT, the forum said, Yummy Yummy Food Court in Sector 37 indulged in unfair trade practice and should hence refund Rs 58, in addition to a compensation of Rs 1,000.

The complainant, Rajeev Chaudhery, a resident of Sector 7, Panchkula, had gone to the restaurant along with his family in May this year.

They ordered three buffet meals for Rs 149 each, totalling to Rs 447.

After they had finished with the dinner and demanded the bill, a waiter verbally told them to pay Rs 505, including VAT. Chaudhery asked the waiter to give him a bill, showing the break-up, upon which he was given a “handwritten bill” on a plain piece of paper.

Demanding a printed bill, Chaudhery asked the waiter to call the manager, who came after 15 minutes and said they were unable to provide a printed bill but would issue one on the hotel’s letter pad.

The complainant then told the manager that they could not demand VAT without giving a proper, printed bill to the customer. after which the latter allegedly got angry and used foul language, forcing Chaudhery to pay Rs 505 as the total bill.

The complainant then moved the consumer forum.

On receiving a notice from the forum, Pushpinder Singh, managing director of the restaurant, appeared on the first hearing and sought time to file a reply. Noone, however, turned up on behalf of the hotel thereafter.

The forum observed that charging VAT without issuing a permanent, printed bill surely amounted to unfair trade practice and deficiency in service. This way, the forum said, the hotel charged Rs 58 extra which it should refund to the customer.

Source : Chandigarh Newsline - Chandigarh, India, dated 14/11/2008

 

Privacy Policy|Disclaimer|Advertise|Sponsor

Copyright © 2001 Sriviven Software

Site Optimized for view with IE5+ 800 * 600