Government Plans To Stop The Recovery Of Service Charges In Restaurant Bills

New Delhi, 3rd June 2022: After eating at a restaurant, during the time of paying the bill, many types of charges are charged in it. If one looks closely at the restaurant bill, service charge is also included. This service charge taken from the customers is completely wrong. The government is going to take measures to stop this.

Consumer Affairs Secretary Rohit Kumar Singh said that the government will soon come up with a legal framework to stop restaurants charging service charges from customers. He said this after a meeting with representatives of restaurant and consumer associations.

Rohit Singh said that the restaurant and hotel industry associations claim that this practice is not legally wrong. On the other hand, the Department of Consumer Affairs is of the view that it adversely affects the rights of the customers. Also it is ‘unfair trade practice’.

Rohit Singh said, “There were guidelines for the year 2017 which they have not implemented. The guidelines generally cannot be enforced legally.”

He said a legal framework would be legally binding on them to stop this practice. Usually consumers get confused between service charge and service tax and pay the same.