Notification No. 20/2019-CT (Rate) dated 30/09/2019 amending the original notification no. 11/2017-CT (Rate)
GST Rate- For Hotel Rooms
Value of Supply per day per unit Old Rate New Rate
| Less Than ₹ 1000 | Nil | Nil |
| Equals to ₹ 1000 | 12% | Nil |
| ₹ 1001 to ₹ 2500 | 12% | 12% |
| ₹ 2501 to ₹ 7500 | 18% | 12% |
| ₹ 7501 and above | 28% | 18% |
Value of Supply = (Declared Tariff – Discount received)
Outdoor catering services/Catering plus renting of premises
Declared tariff per day per unit Old Rate New Rate
| Upto ₹ 7500 | 18% with ITC | 5% without ITC |
| Exceeds ₹ 7500 (i.e., Specified Premises) | 18% with ITC | 18% with ITC |
Declared tariff = charges for the room along with all the facilities provided in the room like furniture, Air conditioner, television, refrigerator etc.
Restaurant service in a Hotel
Declared tariff per day per unit Old Rate New Rate
| Less than ₹ 7500 | 5% without ITC | 5% without ITC |
| Equals to ₹ 7500 | 18% with ITC | 5% without ITC |
| Exceeds ₹ 7500 | 18% with ITC | 18% with ITC |
Declared tariff = charges for the room along with all the facilities provided in the room like furniture, Air conditioner, television, refrigerator etc.
Standalone restaurant service
Old Rate New Rate
| 5% without ITC | 5% without ITC |
Food supplied in trains or at platforms by Indian railways
Old Rate New Rate
| 5% without ITC | 5% without ITC |
Place of Supply
1. For Hotels
Case-1 Supplier, Recipient and Hotel property located in India
When supplier, recipient and hotel property is located in India – It shall be the place where the Hotel is located. (Sec12 of IGST Act 2017)
Case-2 Supplier and Recipient are located in India but Hotel property is located outside India
When supplier and recipient property is located in India but hotel property is located outside India– It shall be the place of the recipient. (Sec12 of IGST Act 2017)
Case-2 Supplier or Recipient are located outside
When supplier or recipient are located outside India –It shall be place where Hotel is located. (Sec12 of IGST Act 2017)
1. For Restaurant
The place of supply of restaurant and catering services, person grooming, fitness, beauty treatment, health service including cosmetic and plastic surgery shall be the location where the services are actually performed [Sec12(4)] of IGST Act 2017]
Definitions
Restaurant service means supply, by way of or as part of any service, of goods, being food or any other article for human consumption or any drink, provided by a restaurant, eating joint including mess, canteen, whether for consumption on or away from the premises where such food or any other article for human consumption or drink is supplied.
Outdoor catering means supply, by way of or as part of any service, of goods, being food or any other article for human consumption or any drink, at Exhibition Halls, Events, Conferences, Marriage Halls and other outdoor or indoor functions that are event based and occasional in nature.
Hotel accommodation means supply, by way of accommodation in hotels, inns, guest houses, clubs, campsites or other commercial places meant for residential or lodging purposes including the supply of timeshare usage rights by way of accommodation.
Declared tariff means charges for all amenities provided in the unit of accommodation (given on rent for stay) like furniture, air conditioner, refrigerators or any other amenities, but without excluding any discount offered on the published charges for such unit.
Specified premises mean premises providing ‘hotel accommodation’ services having declared tariff of any unit of accommodation above seven thousand five hundred rupees per unit per day or equivalent.”.
Author Bio
Dear Sir,
As per amendment, rate for outdoor catering service (other than at specified premises)of above Rs.7500 attracts the rate of 5% without ITC but you have mentioned 18% with ITC.