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Dharamsala: Extension of homestay scheme sought

Residents of 8 villages had lost the privilege to run homestays after merger with Dharamsala MC

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Tribune News Service

Lalit Mohan

Dharamsala, April 24

Residents of areas merged with the Dharamsala Municipal Corporation in 2015 are demanding the extension of the homestay scheme.

The residents of eight villages surrounding Dharamsala had lost the privilege to run homestays under a state government scheme after 2015 since it was limited to rural areas.

Dalip, a resident of Dharamsala, who was running a three-room homestay at Khaniara village said he had shut his venture after the village was merged in the MC. “Now, anybody running a homestay in the merged areas will have to pay commercial water and power charges besides other taxes. In such an eventuality, people have two options — either to close down the ventures or run these as commercial units. It has killed the small guesthouse industry of Dharamsala that was providing employment to locals. Besides, it also promoted eco-friendly tourism,” he said.

Eight villages around Dharamsala were included in the urban area when the city was converted from council to corporation. Many people who had started homestays in these villages had to shut these down.

Rakesh had set up a three-room homestay at Rakkar village. However, now he is not in a position to run his venture as the tourism department officials have asked him to register it as a hotel. Talking to The Tribune, Rakesh said when he had started his homestay, it fell in a rural area.

“Now, the government included the area in urban limits. Those running homestay ventures in should be allowed to run their business as usual as they had started it before the area was included in the MC,” he said.

The scheme was started by the previous BJP government in the state to promote rural tourism. Under the scheme, any person could rent out three rooms in his house for tourism purpose. The homestays were also exempted from tourism-related state taxes. Many people had set up homestays to take benefit of the government scheme.

Dharamkot village, also known as ‘little Israel’ due to a large number of Israeli tourists visiting the area, has about 200 homestays. Recenty, the owners were issued notices by the Department of Tourism to either register their ventures as hotels or face action.

People of areas merged in the Municipal Corporation alleged that had not benefitted from the Smart City scheme. The state government had exempted the areas included in the corporation from paying taxes for a period of two years.

Dinesh, a resident of Sakoh village, said, “Now, the exemption period is over. We have not got any facility expected in an urban area. In a few months, urban taxes will be levied on us but no facility has been given to us,” he said.

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