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Hotel JW Marriott Fined For Charging Rahul Bose Rs 422 For 2 Bananas. Read The Law

| Published on July 27, 2019

The Rahul Bose controversy has started a new debate about the law regarding the law that restaurants should charge on fruits or not.

According to new GST law, Fresh fruits are not considered taxable. According to HSN/ Chapter 803, bananas, including plantains, fresh or dried come under zero tax rate and are exempted.

Because of this, The Chandigarh Excise and Taxation Department has penalised hotel JW Marriott for charging “illegal tax” on 2 bananas that cost a whopping Rs. 442.50 to actor Rahul Bose. The 5-star hotel has been imposed with a penalty of Rs 25,000.

Rahul Bose

JW Marriott was served a showcause notice to which the hotel was supposed to reply on Saturday and also attend a personal hearing.

Confirming about the decision, UT Assistant Excise and Taxation Commissioner (AETC), Rajeev Chaudhary said, ” Yes, the hotel has been indicted for illegal collection of tax – because they charged tax on bananas which come under the category of fresh fruits that are a tax free item. Fresh fruits are not taxable as per law. We have imposed a penalty on them.”

Also Read: Brands Came Up With Creative Social Media Ads Over Rahul Bose Banana Controversy

Quote source: IndianExpress

Here’s the tweet of Rahul Bose that started the whole thing:

The hotel was asked to submit a reply by 11 am today. “The hotel authorities could not give a satisfactory reply to our notice. They did come for a personal hearing and sought more time which we did not allow. Citizens should be alert and can complain to us wherever they find that they are being charged illegally,” Chaudhary said.

No official statement has been released by the hotel authorities till now.

Also Read: Hotel Taj Trolls JW Marriott After Rahul Bose’s Banana Controversy. Twitter Is Praising Taj For Its Marketing Mind

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