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GST of hotels, restaurant n lodge

Prasannakumar Hiremath (30 Points)

11 February 2020

Respected Experts,

Kindly guide some important notes on GST of hotels restaurant and lodge..

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5 Replies

gapesh (ipcc cleared) (22 Points)
Replied 11 February 2020

It is a service under GST act
whatever u provide incld. food, everything is charged as service

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Prasannakumar Hiremath (30 Points)
Replied 11 February 2020

Sir, GST rate will be 18% for each?

Pankaj Rawat (GST Practitioner) (55047 Points)
Replied 11 February 2020

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

Spurto Consultancy Services (Consultant) (1891 Points)
Replied 11 February 2020

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