Sujeet Kumar
General Manager
Sheraton Grand Bangalore Hotel aT Brigade Gateway
While earlier, there were multiple impositions on tax percentages for banquet rental, food and soft beverages, taxed anywhere between 23 to 35 per cent, they are now collated under the GST at a flat 18 per cent, which includes tax revenue collected by both central and state government. Additionally, GST is applicable only on place of supply, due to which if a company is headquartered out of Karnataka and does its function or event at any city in Karnataka the relevant hotel would not raise an IGST invoice, which effectively would mean that the company would not be able to claim a set off for the taxes paid. Overall, the impact of the respective tax slabs has reduced, thus reducing the cost to the final guest, which ideally gives us an advantageous price point to close the business at the property.