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Delhi’s leading 5-Star hotels on tax defaulter list

In a surprising revelation, the New Delhi Municipal Council (NDMC) has said that several of the leading 5-Star hotels in Delhi have not paid their taxes. The tax defaulter list issued by NDMC names leading 5-Star hotels such as Taj, Imperial, Claridges, Leela, ITC Maurya Sheraton among others. Collectively, these hotels owe around Rs 320 crore to NDMC. The tax defaulter list has names of 166 alleged defaulters, each one of whom owes tax in excess of Rs 10 lakh for the last four years.

Some of the top tax defaulters include hotels like Taj Palace (Rs. 42 crore), The Leela (Rs. 18 crore), Claridges (Rs. 4 crore), Hotel Samrat (Rs. 31 cr), ITC Maurya Sheraton (Rs. 2 cr), Ashok Yatri Niwas (Rs. 10 cr), Janpath (Rs. 26 cr), Imperial (Rs. 55 cr), The Park (Rs. 18 cr) and Hotel Ambassador (Rs. 12 crore). The biggest defaulter is Delhi Golf Club that owes a staggering Rs 700 crore to NDMC.

However, NDMC is not able to recover the dues from these hotels since most of them have filed court cases against the tax assessment process. So, until the court announces its decision, there is hardly any action that NDMC can take. NDMC has the power to attach the assets in case of tax default, but since the matter is sub-judice, it cannot attach these hotel properties.

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