MUSCAT: Restaurants and cafes that are managed through franchise contracts located in tourism designated areas will now have to pay a 4 per cent fee to the government, the Ministry of Tourism has announced on Sunday.

Starting from January 1, 2020, restaurants and cafes are obligated to pay the fee of the sales made every quarter. “The fee will be calculated on the basis of the amount spent in these establishments by customers who come there,” Ministry said in a statement.

“According to the Ministerial Resolution No. 56/2019, some provisions of the executive regulations have been amended. Restaurants and cafes will have to pay tourist fees that amount to four per cent of all its sales starting from January 1, 2020. It has to be paid to the ministry on a quarterly basis in accordance with the controls and procedures stipulated in the decision. In case of delay, fines will be imposed in accordance with article 7 of the same decision,” the statement added.