TAXATION ON HOTELS IN RAJASTHAN – F.Y. 2015-16
The government has displayed a paradigm change in the Indirect Tax Laws and both the state and central budgets have indicated a swift transition from Service Tax and VAT regime to the Goods and Services Tax (GST) regime in India over the next one year. These changes are equally visible in the Rate of Taxes under the Service Tax, VAT and other Commercial Taxes for the FY 2015-16.
The applicable rate of Service Tax is changing from 12.36% to 14% w.e.f. 01-06-2015. However, this is subject to benefit of abatements and valuation rules as prescribed under the Service Tax Rules.
We are enclosing a consolidated chart of indirect taxes applicable on Hotels and Hospitality industry in Rajasthan including
(i) Service Tax;
(ii) Service Tax Reverse Charge;
(iii) Rate of VAT on Hotels in Rajasthan;
(iv) Rate of Luxury Tax on Hotels in Rajasthan.