Gujrat

Demand uniform GST rate on hotels and restaurants Demand uniform GST rate on hotels and restaurants

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Ahmedabad hour ago

  • Reintroduction of the Hotel-Restaurant Association
  • At present, tax is levied at the rate of 5, 12, and 18 percent

Recently, the All Gujarat Hotel and Restaurant Association has submitted a proposal to the GST department to keep a single rate on hotels and restaurants instead of different rates of 5, 12, and 18 percent. The president of the association Narendra Somani and the office bearers had earlier also presented the GST Commissioner and Gandhinagar. Usually, the hotel room rent is Rs. 7,500, and 18 percent GST is levied on all hotel services. This hotel charges 18 percent GST while other restaurants charge 5 percent GST on dining.

Apart from this, 18 percent GST is levied on hotel banquet hall rent, while 5 percent GST is levied if it is rented with food. In such circumstances, mostly if a company hires for a small meeting or event, 18 percent GST is levied.

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