GST of hotels, restaurant n lodge

Respected Experts,

Kindly guide some important notes on GST of hotels restaurant and lodge..
Replies (5)
Quick Summary
This discussion clarifies the Goods and Services Tax (GST) applicable to hotels, restaurants, and lodges. It highlights that most services provided by these establishments are subject to GST, with specific rates varying based on the type of service and accommodation charges. Exemptions exist for accommodation below a certain value, while different GST rates (5%, 12%, or 18%) apply to restaurants and hotel services, with conditions regarding Input Tax Credit (ITC) availability.

It is a service under GST act
whatever u provide incld. food, everything is charged as service
Sir, GST rate will be 18% for each?
As per Notification 12/2017 CT , hotel & lodge accomodation charges upto 1000/- is Exempted .

As per Notification 46/2017 CT rate :

Restaurants without ITC, charge 5%
Restaurants in hotel where room tariff is 7500/- or more , GST is 18% with full ITC

As per Notification 20/2019 CT (R)

Supply of „hotel accommodation‟ having value of supply
of a unit of accommodation above Rs.1000/- but less than or equal to Rs. 7500/- per unit per day the GST Rate is 12% with ITC.
Above 7500/- it's 18% per unit per day

Restaurants are required to pay GST at a concessional rate of 5% on the turnover under Composition Scheme subject to specified conditions restrictions. They cannot claim any ITC. 

Standalone Restaurants - 5% without ITC

Standalone outdoor catering services - 5% without ITC

Restaurants within hotels (Where room tariff is less than Rs 7,500) - 5% without ITC

Restaurants within hotels (Where room tariff is more than or equal to Rs 7,500) - 18% with ITC

 

 

Thanks alot sir

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