Applicable Tax Rate

[VIGNESH]

sir, accomodation service provided by a hotel in tamil nadu , which has highest room tariff of ₹ 7000/- and charges 12% tax rate, my question is - when Rooms are given to SEZ unit in tamil nadu for accomodation of employees , what is the tax applicable?, Tax rate applicable?. kindly clarrify

AI Summary

GST on Hotel Accommodation for SEZ Units Taxable at 12% if Provided Outside SEZ; No Refund Available. A query was raised regarding the applicable Goods and Services Tax (GST) rate for accommodation services provided by a hotel in Tamil Nadu to a Special Economic Zone (SEZ) unit. The hotel charges a 12% tax rate for rooms with a tariff of 7000. It was clarified that since the accommodation is provided outside the SEZ area, the service is taxable, and GST paid cannot be refunded. A reference to a decision by the Authority for Advance Ruling in Karnataka was also suggested for further understanding. Another participant concurred with this interpretation.