image

GST Rates on Hotels and Restaurants.

The GST Council have decided different slabs on GST rates for hotels and restaurants which is based on the tariff and yearly turnover.

GST Rates for restaurants and hotels are as follow:

GST Rates on Restaurants

Tax Rate Categories Input Tax Credit
5% Restaurants (without bar license) having turnover below 75 lacs and opting for composition scheme No ITC allowed
12% Non-AC Restaurant (without bar license) With full ITC available
18% AC Restaurant (without bar license) With full ITC available
18% AC/Non AC Restaurant (with bar license) With full ITC available
18% Outdoor Catering With full ITC available
28% Restaurants inside a five Star Hotel With full ITC available

Restaurants includes takeaway and door delivery GST Rates on Hotels, resorts, Inn and Lodges

Tax Rate Categories Input Tax Credit
Exempt Hotels and lodges having tariff less than Rs. 1,000 per room per day NA
12% Hotels with tariffs Rs. 1,000-2,500 per room per day With full ITC available
18% Hotels with tariffs Rs. 2,500-7,500 per room per day With full ITC available
18% Bundled or Packaged service by way of supply of food + Hotel room, convention centre, club, pandal, shamiana or any other place With full ITC available
28% Hotels, resorts and lodges having tariffs above Rs. 7,500 per room per day With full ITC available
Hotel includes hotels, inns, guest houses, clubs, campsites or other commercial places meant for residential or lodging purposes.

Mail us at info@reckonbill.com for any Query.