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Implications of the Hotel Laws in the Indian Hotel Industry

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By CCLMS Admin
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October 26, 2024
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As we all know our country “India” is very rich in culture, and tradition as well as it has many beautiful places like hill stations and beaches to hang around with. For hanging out in these beautiful places, the hospitality industry plays a major role in handling tourists worldwide. All the hotel personnel have to maintain certain regulations related to the law. The reason is that these laws help ensure the hotel industry runs smoothly. As far as the categorization is concerned, the hotel laws are categorized into several laws: The first law is the “License and Fire Security Certificate”. You cannot apply for this certification without the fire NOC as it is tough to get other permission. You have to obtain the NOC certificate from the fire department. After applying, the fire department personnel will conduct the inspection, and the senior personnel will decide whether the license should be given or not. The second law is Standardization and Food Safety. This law is considered the highest authority which mainly focuses on taking the responsibility of supervising food safety. In the hotel industry, those with a turnover of around 10 – 20 crores are eligible to apply for the FSSAI license. For that, there are some documents which are required to get a license are as follows:
  • Govt identity proof of the owner
  • Address proof
  • Hotel’s email ID
  • Owner’s Pan Card
  • Annual turnover report issued by the Chartered Accountant
  • Employee’s Medical Certificate
  • Water Testing Report
  • No Objection Certificate
The third law focuses on the “Liquor law”, which mainly focuses on selling and using alcoholic beverages. Every state has a different liquor law. For this permission, the hotelier has to contact the state excise department to get the application form. Certain documents which are required are as follows:
  • Ownership documents
  • Municipal No Objection Certificate
  • Income Tax returns
  • Owner’s Identity Card
The fourth law is the Employment Law. It is also considered as the labour law. This law is categorised into several acts such as the Minimum Wages Act, Employee’s Provident Fund, etc. This law mainly regulates employee benefits, The hotel owners, those who fail to obtain the license, hoteliers have to face several employment issues. The fifth law is the Consumer Protection Law. This law mainly focuses on protecting the customer’s rights and interests. The hotel personnel should make sure that customers get accurate information related to the hotel. If any customer finds any misconduct in the hotel service, then they can file a complaint as well as they can request the removal of the service charge. The sixth law is the Anti-Discrimination Law. This law states the fact that discrimination against the guest based on complexion, race, disability as well as origin is illegal. This offence can lead to legal punishment. The seventh law is Intellectual Property Rights. This law is the most important of all the laws. The first legality under Intellectual Property Rights is the Copyright and Trademark. This legality mainly concentrates on the protection of the hotel’s identity like the logo, and name as well as written materials like the brochure and hotel software. For this permission, the hotel personnel need to contact the Intellectual property office and follow certain guidelines to get the license. The next law is the taxation law. In this law, certain financial regulations like Goods and Service Tax (GST), Income Tax Act and Foreign Exchange Management Act regulate the whole financial transactions of the hotel industry. From the above-stated points, all the readers have enough knowledge about the implementation of the hotel laws. All hoteliers as well as the students of Hotel Management, those who want to establish their hotels, should have a piece of accurate information about the hotel law and its regulations.

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