India's Rajasthan State to Reduce Taxes on Heritage Hotels

The Indian state of Rajasthan is going to reduce VAT (Value Added Tax) on most heritage hotels this summer season. The palace-turned-heritage hotels are major players in the hotel industry of Rajasthan. The reduction in VAT is expected to benefit heritage hotels in the state and boost tourism.

Taxes for the basic category of heritage hotels and resorts will be reduced from 14% to 5%. The majority of heritage properties fall within this category.

Higher-category heritage hotels will pay a 5% valued added tax instead of 4%. Heritage hotels falling in the grand category, however, will pay 10% instead of 8% luxury tax. 

Guesthouses and hostels with fewer than five rooms will not need to pay tax anymore.

The heritage hotels were turned into ancient castles, havelis, forts and palaces. By staying in a heritage hotel, travelers can get a firsthand experience of Rajasthan’s rich history and hospitality.

About Rajasthan Tourism

Rajasthan is a beautiful state in northwestern India with a regal heritage and splendid architecture. The main attractions are the vast Thar Desert and historic havelis, forts and palaces like Amber Fort in Jaipur, Jagdish Temple in Udaipur, Meherangarh Fort in Jodhpur. The heritage hotels are also windows into the royal and colorful past of Rajasthan.