Kumari Palany & Co

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GST impact - More Crowd in roadside food shops

Posted on: 14/Jul/2017 1:04:12 PM
Following the GST implementation as applicable to hotels and restaurants, more people prefer the roadside shops.

Most of the workers in Chennai belonging to other states/districts depend on the hotels for their food needs.

However, the recent implementation of GST as applicable to hotels and restaurants has resulted in a steep rise in the prices of food items served in hotels and restaurants. So, the regular hotel visitors are extremely upset by this.

Following the GST implementation as applicable to hotels and restaurants, especially the group of single workers with only the monthly salary as income has been put to great hardship as they cannot afford to pay the revised prices.

As a large chunk of their monthly income goes for food, most people resort to taking food in roadside shops which are cheaper. This has led to a substantial reduction in the number of visitors to hotels/restaurants while there is an increase in the number of people resorting to eating in roadside shops.