Chinese authorities have fined on 300 thousand dollars, the Ritz-Carlton in Beijing. The reason was an overestimation hotel prices for food. It is reported by the national Commission for development and reform Commission of China (NDRC), writes the South China Morning Post.
Officials accused The Ritz-Carlton is that the hotel raised the prices on the pretext of covering the additional costs allegedly incurred because of the new tax system.
Apart from that the hotel was also fined 300 thousand dollars and other organizations. Hotel Crowne Plaza Beijing Sun Palace punished for raising prices at his restaurant. Two operating real estate companies (one in Beijing and one in Shanghai) were fined for raising the rent for their premises for residents.
In early may, China has completely replaced the tax on profits of enterprises value added tax (VAT). The Chinese authorities took such a step to alleviate the financial burden for business. However, as noted by The South China Morning Post, many firms said their costs because this reform has on the contrary increased. In this regard, Chinese companies have begun to raise tariffs on their goods and services.
