MCD revises health trade license fees for restaurants and leisure facilities – The New Indian Express

Express press service

NEW DELHI: Licensing and registration fees for operating restaurants, eateries and banquet halls in the city are set to see a significant increase as the Municipal Corporation of Delhi (MCD) approves new tariffs for the issuance of commercial health licenses and registration fees for these establishments. The move came in an effort to have uniform rates across the city because rates at such establishments in the former North and East Company Zones were too low, officials said.

According to officials of the public health service of the civic body, the new tariffs are applicable from July 1, 2022 itself. Tariffs have been revised for 94 categories of businesses that require health business licenses to operate, including dhabas, restaurants, cafes, grocery stores, banquet halls, hotels, leisure facilities and food kiosks. milk, among others. Under the new tariffs, smaller establishments will have to pay more, as the license fees (annual) have been increased in all categories.

For example, until now, the annual license fees for banquet halls ranged between Rs 5,000 and Rs 25,000, under the old companies. Under the new policy, license fees for banquet halls with a maximum capacity of 250 seats have been set at Rs 15,000 while registration (one-time) fees have been set at Rs 10,000. For banquet halls with more than 250 seats, the fee is Rs 25,000 while the registration fee has been set at Rs 20,000.

Similarly, restaurants and restaurants with a capacity of up to 20 seats will have to pay a registration fee of Rs 10,000 and an annual fee of Rs 10,000. to standardize all parts of the city as well as to rationalize the amount charged, which was too low in the areas under the former North Corporation. For North Delhi, the rate review was long overdue. Now that the civic body is reunited, it is easier to make these reforms,” said a senior official, who did not wish to be named.

For institutions in the North, the increase in fees is around 50 to 100%, while for the East, it is around 25%. For the areas under South, the rates remain almost the same and only an increase in the registration fee has been made, the official said.

In addition, added the official, it will bring more transparency in the system, as the charging model for licensing and registration fees will be unit-based (depending on the nature and size of an establishment). ) rather than the existing area so far. “Furthermore, it will help increase revenue generation for the civic body. Until now, rates for areas under North have been so low that fee collection from commercial health units was only about Rs 60 lakh per year Fee collection will now go up to Rs 9 crore per year for this part of the city.

For areas under East Delhi, the annual collection has so far been around Rs 3 crore, which will now go up to Rs 4-5 crore. For South, the collection was around Rs 9 crore, which will now go up to Rs 10 crore,” the official said. In accordance with the revised tariffs, a processing fee of Rs 1,000 will be charged per application. At the same time, the unsealing fee was set at three times the annual fee. “In addition, no late fees will be charged in case of renewal up to one month from the expiry date of the validity of the license. Thereafter, a penalty equivalent to 10% of the annual fee will be charged per month,” another official said.

The rate revision was not well received by entrepreneurs. Sanjeev Khandelwal, president of the Association of Hotel and Restaurant Owners, said the decision to raise the fee is being made without consulting stakeholders.

The overhaul move does not please the owners
The rate revision was not well received by entrepreneurs. Sanjeev Khandelwal, president of the Association of Hotel and Restaurant Owners, said the decision on the hike fee is made without consulting stakeholders. “The sudden over 50% hike in fees without any indication is going to affect the livelihood of 15 lakh traders. There was no discussion and the tariffs were imposed arbitrarily,” he said.

NEW DELHI: Licensing and registration fees for operating restaurants, eateries and banquet halls in the city are set to see a significant increase as the Municipal Corporation of Delhi (MCD) approves new tariffs for the issuance of commercial health licenses and registration fees for these establishments. The move came in an effort to have uniform rates across the city because rates at such establishments in the former North and East Company Zones were too low, officials said. According to officials of the public health service of the civic body, the new tariffs are applicable from July 1, 2022 itself. Tariffs have been revised for 94 categories of businesses that require health business licenses to operate, including dhabas, restaurants, cafes, grocery stores, banquet halls, hotels, leisure facilities and food kiosks. milk, among others. Under the new tariffs, smaller establishments will have to pay more, as the license fees (annual) have been increased in all categories. For example, until now, the annual license fees for banquet halls ranged between Rs 5,000 and Rs 25,000, under the old companies. Under the new policy, license fees for banquet halls with a maximum capacity of 250 seats have been set at Rs 15,000 while registration (one-time) fees have been set at Rs 10,000. For banquet halls with more than 250 seats, the fee is Rs 25,000 while the registration fee has been set at Rs 20,000. Similarly, restaurants and eateries with a capacity of up to 20 seats will have to pay a registration fee of Rs 10,000 and an annual fee of Rs 10,000. which was too low in areas under the former North Corporation. For North Delhi, the rate review was long overdue. Now that the civic body is reunited, it is easier to make these reforms,” said a senior official, who did not wish to be named. For institutions in the North, the increase in fees is around 50 to 100%, while for the East, it is around 25%. For the areas under South, the rates remain almost the same and only an increase in the registration fee has been made, the official said. In addition, added the official, it will bring more transparency in the system, as the charging model for license and registration fees will be unit-based (depending on the nature and size of an establishment). ) rather than the existing area so far. “Furthermore, it will help increase revenue generation for the civic body. Until now, rates for areas under North have been so low that fee collection from commercial health units was only about Rs 60 lakh per year. Fee collection will now go up to Rs 9 crore per year for this part of the city. For areas under East Delhi, the annual collection so far was about Rs 3 crore, which will now go up to Rs 4-5 crore. For South, the collection was around Rs 9 crore, which will now go up to Rs 10 crore,” the official said. of Rs 1,000 will be charged per request. At the same time, the unsealing fee has been set at three times the annual fee. “In addition, no late fees will be charged in the event of renewal up to one month from of the expiration date of the validity of the license. Thereafter, a penalty eq equivalent to 10% of the annual fee will be charged per month,” another official said. The rate revision was not well received by entrepreneurs. Sanjeev Khandelwal, president of the Association of Hotel and Restaurant Owners, said the decision to raise the fee is being made without consulting stakeholders. Owners don’t like revision movement The tariff revision has not been welcomed by business owners. Sanjeev Khandelwal, president of the Association of Hotel and Restaurant Owners, said the decision on the hike fee is made without consulting stakeholders. “The sudden over 50% hike in fees without any indication is going to affect the livelihood of 15 lakh traders. There was no discussion and the tariffs were imposed arbitrarily,” he said.

Richard F. Gandhi