Vat


This query is : Resolved 

(Querist)
24 July 2014 hi, can anyone tell me about the room service vat in 3 star hotel?

24 July 2014
which is teh state of the hotel???????????????????

Bharathi (Querist)
24 July 2014 The state is Tamil Nadu

24 July 2014 It depends upon the tariff rate of the hotels.

The luxury tax (it is not vat)is 5 to 12.5%.

For room service, the vat rate is separate.

Bharathi (Querist)
25 July 2014 sir, how much is the vat for the room service?

02 August 2025 For **room service VAT in a 3-star hotel in Tamil Nadu**, here’s what generally applies:

* **Room tariff** attracts **Luxury Tax** (which varies, typically between 5% to 12.5%, depending on the room tariff slab).
* **Room service** (like food and beverages served in the room) is **subject to VAT** separately.

### VAT rate on room service in Tamil Nadu:

* VAT on **food and beverages** served in hotels (including room service) is typically **5%** under Tamil Nadu VAT rules.
* If the hotel provides packaged foods or other items, different VAT rates may apply, but room service (restaurant service within the hotel) generally attracts **5% VAT**.

### Summary:

| Service | Tax applicable | Rate |
| ------------------- | ------------------ | ----------- |
| Room Tariff | Luxury Tax | 5% to 12.5% |
| Room Service (food) | VAT (on food sale) | Around 5% |

**Note:** Luxury Tax and VAT are two different taxes. Luxury Tax is on room tariff, VAT on food & beverage sold within the hotel.

If you want the exact rate, you may check with Tamil Nadu Commercial Taxes Department or the latest notifications as rates can be revised.

---

Would you like me to help you find any official circular or notification for Tamil Nadu VAT on room service?


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