The festive season is starting and winter holidays are not far away. If you are also planning to walk somewhere on this occasion, then there is a very good news for you. Now you have to spend less money than before to stay in the hotel at your favorite place. Yes, the government has cut the tax on hotels keeping in mind your pocket.
The common man is going to get the direct benefit of this decision taken in the GST Council meeting. So next time you book a hotel, do not be shocked to see the bill, because now your good savings are going to be done.
Let’s understand the whole mathematics in easy language
This benefit will be available to those who book hotel rooms whose fare is up to Rs 7,500 for one night.
- What has changed?: Earlier, 18% GST was used on hotel room ranging from Rs 1,001 to Rs 7,500. But now it has been reduced to 12%.
- How much will your savings be?: Savings of 6% directly. For example, if you were paying the rent of a room that is worth Rs 7,500 without tax, then earlier you had to pay 18% GST i.e. Rs 1,350 on it. Now you have to pay only 12% GST i.e. 900 rupees on the same room. That is, when you stop one night Savings of Rs 450 directly Will be
Who will not affect?
Also know that no change has been made in the tax imposed on luxury hotel rooms with rent of more than Rs 7,500. They will continue to be charged 28% GST as before. Also, hotel rooms with less than Rs 1,000 are out of the scope of GST as before, that is, they do not get any tax.
Not only to roam, the industry will also get speed
If you are not having any problem in getting the money of government schemes like gas subsidy, Kisan Samman Nidhi or Pension in your account, it means that your KYC is probably fulfilled. But if you have any doubt, the best way is to go to your bank branch and find out.
So what is the delay now? Pack your bag and get out on your next holiday, because now a good hotel will not be heavy on your pocket.
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