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State of Maharashtra - Section

Section 3 in The Maharashtra Tax on Luxuries Act, 1987

3. Incidence and levy of tax.

(1)Subject to the provisions of this Act and the rules made thereunder, there shall be levied a tax on the turnover of receipts of a hotelier.
(2)There shall be levied a tax on the turnover of receipts [in respect of luxuries covered by sub-clause (f) of clause (g) of section 2] [These words, brackets, letters and figures were inserted by Maharashtra 11 of 1992, Section 38(i).] at the following rates namely:-
"[(a) Where the charge for luxury provided in a hotel isnotexceeding rupees seven hundred and fifty per day, perresidential accommodation. [Clause (a) and (h) were substituted by Maharashtra 12 of 2010, Section 8, w.e.f. 1-5-2010.] Nil
(b) Where the charge for luxury provided in a hotel exceedingrupees seven hundred and fifty but does not exceed rupeestwelvehundred per day, per residential accommodation. 4 per centum of such turnover of receipts.]
(c) Where the charge for luxury provided [10 per centum ofsuch turnover of receipts.] in a hotel exceeds twelve hundredrupees per day:
[Provided that, where the charges are levied otherwise than on daily basis, then the charges for determining that tax liability under this section shall be computed proportionately for a day per residential accommodation based on the total period of such accommodation for which the charges are made.] [This proviso was substituted by Maharashtra 20 of 2002, Section 26(b).]
(2A)[ There shall be levied a tax at the rate of twelve per cent. on the turnover of receipts in respect of luxuries covered by sub-clause (ii) of clause (g) of section 2.] [Sub-section (2A) was inserted by Maharashtra 11 of 1992, Section 38(2).]
(3)Where, in addition to the charges for luxury provided in a hotel, services charges are levied and appropriated by the hotelier and not paid to the staff, then such charges shall be deemed to be part of the charges for luxury provided in the hotel.[* * *] [Sub-section (4) was deleted by Maharashtra 24 of 1990, Section 22(b).]
(5)Where luxury provided in a hotel for a specified number of persons is shared by more than the number specified, then, unless the additional person is a child occupying the room alongwith his parent or guardian and no separate charge is recovered for the child, in addition to the tax levied for luxury provided to the specified number of persons, there shall be levied and recovered separately the tax in respect of the charges made for the extra persons accommodated.Explanation. - For the purpose of this sub-section, "child" means a person who has not completed twelve years of age.
(6)The tax shall not be levied and payable in respect of the turnover of receipts for supply of food and drinks, on the sale of which the hotelier [has already paid the] [These words were substituted for the words is liable to pay sales' by Maharashtra 32 of 1994, Section 3.] tax under the [Maharashtra Value Added Tax Act, 2002] [These words and figures were substituted, and deemed to have been substituted w.e.f. 1-4-2005, for words and 'Bombay Sales Tax Act, 1959' by Maharashtra 32 of 2006, Section 12.].
(7)For the purposes of this Act, tax collected separately by the hotelier shall not be considered to be part of the receipt or the turnover of receipts of the hotelier.