Maharashtra Bars & Restaurants to Go on Statewide Strike on July 14 Over Heavy Tax Hike

The hotel and restaurant industry in Maharashtra has openly come out against the state government’s tax policies. The Indian Hotel and Restaurant Association (AHAR) has announced a statewide shutdown on Monday, July 14, 2025. Under this shutdown, all permit rooms and bars across Maharashtra will remain completely closed.

Industry-related organizations have alleged that the government has recently doubled the VAT on liquor, placing a significant financial burden on the hotel and bar industry. In addition to this, a 15% hike in license fees and a massive 60% increase in excise duty have further shaken the sector.

Outrage Over Tax Increases

AHAR and other organizations say this tax hike is not only harmful to business, but poses a direct threat to the survival of small and medium-sized hotels and bars. The crisis could impact thousands of jobs and affect the livelihoods of millions of families.

The president of AHAR released a statement saying, “The government’s recent tax policy is extremely unjust. We have repeatedly informed the administration about our concerns, but have received no satisfactory response. Hence, we were left with no option but to declare a statewide shutdown.”

Shutdown to Impact Entire State

The declared shutdown on July 14 will be effective throughout Maharashtra. During the shutdown, all permit rooms, bars, and hotels/restaurants serving alcohol will remain completely closed. The association clarified that the protest will be peaceful, but warned that if the government still fails to respond, the agitation could intensify.

The shutdown will affect major cities such as Mumbai, Pune, Nashik, Aurangabad, and Nagpur, as well as rural areas. Other hotel, bar, and restaurant organizations have also expressed support for AHAR’s call.

Strategy to Increase Pressure on the Govt

AHAR maintains that the shutdown is not a political movement, but a fight for the industry’s survival. In a statement issued by the association, it said, “We are demanding a fair tax policy and a stable business environment from the government. If our concerns continue to be ignored, both the nature and intensity of the protest may change.”