You needn't pay service charge at hotels, restaurants

New Delhi: The Central Consumer Protection Authority (CCPA) has issued guidelines for preventing unfair trade practices and violation of consumer rights with regard hotels and restaurants levying service charge, stating that the consumer may lodge a complaint with the National Consumer Helpline (NCH) against such practice.

The guidelines issued by the CCPA stipulate that hotels or restaurants shall not add service charge automatically or by default in the food bill.

"No collection of service charge shall be done by any other name. No hotel or restaurant shall force a consumer to pay service charge and shall clearly inform the consumer that service charge is voluntary/optional and at the consumer's discretion.

"No restriction on entry or provision of services based on collection of service charge shall be imposed on consumers. Service charge shall not be collected by adding it along with the food bill and levying GST on the total amount."

The CCPA said that the consumer may make a request to the concerned hotel or restaurant to remove service charge from the bill amount.