India's apex Hospitality Association - Federation of Hotel & Restaurant Associations of India (FHRAI) has submitted a representation, requesting Prime Minister Narendra Modi to provide immediate relief to the Hospitality industry from the abnormal increase in the cost of Liquid Petroleum Gas (LPG).The Association has requested that the tax rate charged on LPG supplied to standalone restaurants be reduced from the current 18 per cent to 5 per cent.
It has stated that since standalone restaurants are not allowed to claim ITC, this move will help reduce the cost burden on restaurants.