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[Cites 0, Cited by 3] [Entire Act]

State of Gujarat - Section

Section 3 in The Gujarat Tax on Luxuries (Hotels and Lodging Houses) Act, 1977

3. Levy and collection of luxury tax.

- [(1) Subject to the provisions of this Act, there shall be levied and collected a tax on luxury provided in a hotel in respect of a room under the occupation by any person at the rate specified in the Table below:--
Sr. No Daily lodging charges per room Occupancy Rate of tax
1 Where the charges for lodging are not more thanrupees five hundred --- Nil.
2 Where the charges for lodging are more thanrupees five hundred but not more than rupees two thousand On consolidated payment 5 per cent made on thebasis of 5Q per cent occupancy as per the average declared tariff 5 per cent
3. Where the charges for lodging are more thanrupees two thousand. (a) On consolidated payment made on the basis of50 per cent occupancy as per the average declared tariff, or 8 per cent
    (b) On payment made on the basis of actualoccupancy as per the declared tariff 12.5 per cent
Explanation. - For the purpose of the Table, the expression "declared tariff' means the rate of charges declared by the proprietor under sub-section (1) of section 3B:Provided that where charges for lodging are levied otherwise than on daily basis per room, then, for the purpose of determining the tax liability of any person occupying the room under this section, the charges shall be computed as a day per room based on the period of lodging for which charges are payable and the number of rooms actually lodged or permitted to lodge according to the rules or custom of the hotel.] [Sub-section (1) substituted by Gujarat 13 of 2006, dated 31st March, 2006 (w.e.f 01-04-2006)]
(2)where luxury is provided in a hotel to representatives or employees of any company and charges for such luxury are to be borne by the company, there shall be levied and collected the tax from such company.Explanation. - In this sub-section "Company" means any body corporate and includes a firm or other association of persons.
(3)The tax payable under this section shall be collected by the proprietor and be paid into a Government treasury within the time and in the manner provided in the Act.
(4)In computing the amount of tax payable under this section, the amount shall, if it is not a multiple of five paise, be increased to the next higher multiple of five paise.