The state government has imposed an eight per cent luxury tax on each bed in an ICU. Last week, the department of commercial taxes sent a directive to all hospitals across the city stating: "The accommodation provided in an ICU charging more than Rs 1,000 per day per room attracts luxury tax at the rate of eight per cent under the Karnataka Tax on Luxuries Act, 1979." What the directive means 'per room' is per bed. The hospitals without doubt will pass on the burden to the patient. How can the government treat an ICU as a hotel room or a private ward in a corporate hospital?
The patient in an ICU is usually battling for life and not wallowing in comfort. How can we tell the family members of the patients to pay luxury tax when they are actually hoping for a miracle? This order is nothing short of a state-administered euthanasia programme!" Rules of the NABH clearly state that AC is…
