Hotel GST Calculator — India 2025

Calculate the correct GST on your hotel, villa, or homestay room tariff under India's updated rules effective 22 September 2025. Enter your nightly rate to see the applicable slab, GST amount, and grand total instantly.

Updated for September 2025 GST revision — 12% slab abolished

Page last updated: 28 July 2026

India Hotel GST Slabs — Updated September 2025

GST Council revision effective 22 September 2025. The 12% slab has been abolished.

Up to ₹1,000 / night0% (Exempt)ITC: N/A
₹1,001 – ₹7,500 / night5%ITC: Not eligible
Above ₹7,500 / night18%ITC: Eligible

Tariff = the room rate charged to the guest, excluding GST. Where a hotel has multiple room categories at different rates, each category's tariff determines its own GST slab independently.

What is Input Tax Credit (ITC) and why does it matter?

Input Tax Credit (ITC) lets you subtract the GST you paid on business purchases from the GST you collect from guests. For example, if you paid ₹36,000 GST on a renovation and collected ₹50,000 GST from guests that quarter, you remit only ₹14,000 to the government.

Hotels charging 18% GST (tariff above ₹7,500/night) can claim ITC on inputs like furniture, services, linen, and renovation. Hotels in the 5% slab (₹1,001–₹7,500) cannot — this is a deliberate trade-off where the lower rate comes without ITC.

Practical tip for tariffs near ₹7,500

If your tariff is near ₹7,500 and you spend heavily on inputs (renovation, furniture, linen), it may be worth pricing above ₹7,500 to access ITC — even though the headline GST rate is higher. Run both scenarios before deciding on your rack rate.

Who needs to register for GST?

Annual turnover above ₹20 lakh

GST registration is mandatory for any hospitality business — hotel, villa, homestay, or guesthouse — with annual turnover exceeding ₹20 lakh. For special category states (Uttarakhand, Himachal Pradesh, all North-East states), the threshold is ₹10 lakh.

OTA platform listings

If you list on Airbnb, Booking.com, MakeMyTrip, or Goibibo, the OTA collects TCS on your behalf. This doesn't change your registration obligation — if you cross the threshold, you must still register independently.

Voluntary registration below threshold

Even below ₹20 lakh, you can register voluntarily. This makes sense if you want to claim ITC on large purchases (renovation, equipment) and your tariff qualifies for the 18% slab.

Dharamshalas and religious trusts

Dharamshalas operated as religious or charitable trusts may qualify for GST exemptions beyond the standard tariff-based slabs. Consult a CA for your specific situation.

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