Discussion on ITC on hotel bills. ITC on food and beverages is blocked under Section 17(5). ITC on hotel accommodation is allowed only if used for business purposes like employee stay or client visits. Conditions apply based on GST registration, place of supply, and nature of use.
Hii..one cannot claim ITC if he is not registered in the State/UT where Hotel is located.So in your case Traveler will not be able to claim Credit unless he complies the above condition.