Sakshi Jain Talks About New Updates About GST Tax on Hotel Bills

Have you ever wondered about the GST tax with hotel bills? CA Sakshi Jain, a prominent finance influencer and digital content creator here to update you with hotel GST taxes. As per government instruction, the exception previously granted for hotel room rent under 1000 rupees has been removed.

The GST council meeting declares the GST taxation slab to have a uniform tax rate applicable on hotel stays across the country. This tax is based simply on the price charged. Let Understand the latest rate of GST on hotel room rent

GST Charge List on Hotel Room Rent:

1. Less than INR 1,000 GST on hotel accommodation is 12%.

2. INR 1000 – INR 2499 GST on hotel accommodation is 12%

3. INR 2500 – INR 7500 GST on hotel accommodation is 12%

4. INR 7501 and above GST on hotel accommodation is 18%

As per Sakshi Jain, there is some confusion among the people related to the tax charge on room prices. According to the law earlier, GST rated for hotels would be applicable on the declared tax.  A declared tax is a rate of the room set by the hotel based on the directive of the government.  

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GST on hotel rooms has simplified and rationalized the tax structure and rates. It significantly reduced the end cost for consumers and also introduced provision for income tax credit.