₹1K-7.5K: 12%. > ₹7.5K: 18%. Restaurant in hotel separate. Banquet + wedding 18%. OTA platforms + corporate bookings. Foreign tour TCS 5% above ₹7L spend.
HOTEL ROOM GST RATES (by tariff per night): (1) ₹1,001-7,500 per night: 12% GST. (2) ABOVE ₹7,500 per night: 18% GST. (3) ₹1,000 or less per night: 0% (exempt — budget hotels). KEY: based on PUBLISHED TARIFF or actual rate (whichever higher). (4) HOTELS in HOTELS (with restaurant): restaurant separate rate. (5) RESORTS + LUXURY: typically 18%. EXAMPLE: ₹10K/night room × 3 nights = ₹30K. (a) GST 18% × ₹30K = ₹5.4K. (b) Total ₹35.4K. STRATEGIC: ₹7,500 cap optimization point for budget travelers.
RESTAURANT IN HOTEL: (1) STANDALONE BUDGET hotel restaurant: 5% no ITC. (2) PREMIUM hotel restaurant (room tariff > ₹7,500): 18% with ITC. (3) PREMIUM hotel restaurant (room tariff < ₹7,500): 5% no ITC. (4) ROOM SERVICE included: same as restaurant rate. (5) MINIBAR: 18%. (6) BREAKFAST INCLUDED with room: room tariff rate. STRATEGIC: business travelers + corporates use ITC-eligible options for tax efficiency. INDIVIDUAL travelers absorb GST cost.
HOTEL EVENTS GST: (1) BANQUET HALL HIRE: 18% with ITC. (2) WEDDING PACKAGE in hotel: typically 18%. (3) CONFERENCE + MEETING ROOM: 18%. (4) AUDIO VISUAL EQUIPMENT rental: 18%. (5) CATERING within banquet: 18%. (6) BUNDLED packages (room + food + venue): typically 18% on full package. EXAMPLE: ₹5L wedding package at hotel. (a) 18% × ₹5L = ₹90K GST. (b) Total ₹5.9L. STRATEGIC: factor 18% GST in event budgets. CORPORATE EVENTS: claim ITC if registered.
OTA + TRAVEL AGGREGATORS: (1) MakeMyTrip, Booking.com, Goibibo, Yatra, EaseMyTrip: collect GST at room rate (12% or 18%). (2) Platform commission separate — taxable to platform. (3) COUPONS + discounts apply BEFORE GST. (4) FOREIGN OTA platforms: same rates apply to Indian hotel bookings. (5) DOMESTIC travel — typically inclusive. (6) FOREIGN travel from India: Section 206C TCS 5% applies for spend > ₹7L (separate from hotel GST). STRATEGIC: compare across OTA platforms for best price after GST + commission.
HOTEL GST STRATEGY: (1) BUDGET TRAVELERS: target < ₹7,500/night for 12% vs 18%. (2) BUSINESS TRAVELERS: claim ITC if employer GST-registered. (3) CORPORATE BOOKINGS: invoice in company name with GST + ITC. (4) RESORTS + LUXURY: factor 18%. (5) WEDDING + EVENT: 18% on full package. (6) FOREIGN TOUR via Indian travel agent: TCS 5% above ₹7L spend (separate from GST). (7) MEMBERSHIP PROGRAMS (Marriott, IHG): may have GST benefits. (8) AIRBNB India: same hotel-like GST treatment for property owners > threshold. (9) TIME SHARE: separate rules. CONSULT CA for corporate travel + hospitality businesses.