TaxTMI 
TaxTMI 
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
Applicable Tax Rate
18 Apr 2021 
3 Replies 
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Taxability of hotel accommodation to SEZ employees depends on consumption location; if consumed outside SEZ, GST is payable and not refundable.
Accommodation services provided by a hotel outside the SEZ to employees of an SEZ unit are taxable because consumption occurs outside the SEZ; exemptions apply only where goods or services are consumed within the SEZ, and GST paid cannot be refunded solely on the basis that the recipient is an SEZ unit. (AI Summary)
Accommodation services provided by a hotel outside the SEZ to employees of an SEZ unit are taxable because consumption occurs outside the SEZ; exemptions apply only where goods or services are consumed within the SEZ, and GST paid cannot be refunded solely on the basis that the recipient is an SEZ unit. (AI Summary)