The Goods and Services Tax (GST) rate applicable to hotels in India depends on the room tariff.
As of September 22, 2025 - the GST rates for hotel rooms are as follows:
- 0% GST for rooms with a tariff below ₹1,000 per night.
- 5% GST for rooms with a tariff between ₹1,001 and ₹7,500 per night.
- 18% GST for rooms with a tariff above ₹7,500 per night.
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Additionally, some states in India have implemented their own tax rates on hotel bookings, which may vary from the central GST rate. For example:
- In Maharashtra, a state-specific luxury tax of 20% is applicable to luxury hotels.
- In Karnataka, a tourism tax of 1-3% is applicable to all types of hotels.
GST for hotel rooms
| Room tariff per night | GST Rate |
|---|---|
| Less than 1,000/- | 0% |
| 1,001/- to 7,500/- | 5% |
| More than 7,500/- | 18% |
GST for restaurant food
| Type of restaurant | GST Rate |
|---|---|
| Standalone restaurants with takeaway | 5% |
| Restaurant within hotels (room tariff is less than 7,500/-) | 5% |
| Restaurant within hotels (room tariff is more than or equal to 7,500/-) | 18% |
Note: The GST rates mentioned above are subject to change, and the actual tax rate may vary depending on the hotel's classification and location.