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Service charge in hotels, restaurants not mandatory, completely voluntary

April 24, 2017

Service charge in hotels, restaurants not mandatory, completely voluntary
  • As per the latest clarification given by Food and Consumer Affairs Minister Ram Vilas Paswan, service charge on hotel and restaurant bills is totally voluntary and not mandatory now.
  • The government has approved guidelines on service charge. As per the guidelines, service charge is totally voluntary and not mandatory now,” Paswan has reportedly said, adding that “hotels/restaurants should not decide how much service charge is to be paid by the customer and it should be left to the discretion of customer.”
  • As per the guidelines, the column of service charge in a bill will be left blank to customers to fill up before making the final payment.
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