HSN Code for Hotel Room Rent: Complete Guide 2024: Fast-Track Guide to Finding the Right HSN Code for Hotel Room Rent in 1 MinuteSarah ThompsonSep 16, 2025Table of ContentsTips 1:FAQTable of ContentsTips 1FAQAI home designVisualize Room Layouts & Furniture OnlineAI Home Design For FREEUnderstanding the correct HSN (Harmonized System of Nomenclature) Code for hotel room rent is essential for hotels, guests, and professionals dealing with GST compliance in India. This comprehensive 2024 guide will help you grasp what HSN code is applicable for hotel room rental, its relevance, GST rates, as well as answers to common questions.What is the HSN Code for Hotel Room Rent? The HSN Code for hotel accommodation services, including room rent, is 9963. As per GST law, HSN code 9963 covers accommodation services provided by hotels, inns, guesthouses, clubs, campsites, and other similar establishments for residential or lodging purposes.GST Rates Linked to HSN Code 9963 (2024) The GST rate for hotel room rent depends on the actual taxable value per unit per day:0% GST: If the room rent is less than ₹1,000 per day.12% GST: If the room rent is ₹1,001 to ₹7,500 per day.18% GST: If the room rent exceeds ₹7,500 per day.It's crucial for hotels to categorize their services with the appropriate HSN code to ensure GST compliance and for guests to understand the applicable tax rates.Why is HSN Code Important for Hotels? Correct use of HSN code while billing is necessary for tax calculations, filing GST returns, and avoiding penalties. For interior design professionals working on hospitality projects, understanding HSN codes ensures accurate project estimations and client advisories regarding indirect costs.Speaking from my design perspective, clear room categorization with correctly applied room planner tools not only improves operational workflows but also supports compliant billing and enhanced guest experiences.Tips 1:If you're involved in the administration or design of hotel properties, always update the property management system to reflect the latest GST rates and HSN codes. This helps avoid compliance issues and ensures transparency to guests during the booking or billing process.FAQQ: What is the HSN code for hotel accommodation? A: The HSN code for hotel accommodation or room rent is 9963 under GST.Q: What are the GST rates for hotel room rent in 2024? A: GST rates are: 0% for rooms under ₹1,000, 12% for ₹1,001 to ₹7,500, and 18% above ₹7,500 per night.Q: Is GST applicable on all hotel room rents? A: GST is not applicable for room rent below ₹1,000 per night. Above this threshold, GST is charged as per slab rates.Q: Does the HSN code 9963 cover banquet halls and conference services? A: Banquet and conference services can fall under HSN code 9963 when provided by hotels as part of accommodation packages.Q: Why should hotel management update their systems for HSN codes? A: Proper HSN code updates ensure GST compliance, correct billing, and help avoid penalties or legal complications.AI Home Design For FREEPlease check with customer service before testing new feature.AI home designVisualize Room Layouts & Furniture OnlineAI Home Design For FREE