GST Specified Premises for Hotels: How to Choose 5% vs 18% GST & File Annexure VII/VIII Online?

Hotels can provide room accommodation and restaurant services. Accordingly, they can choose to designate their property as a “Specified Premises” under the GST law, affecting taxation. 

Notification No. 05/2025 dt. 16th January 2025 details the conditions and process for categorising a hotel as specified premises. Once classified, they must make a specified premises declaration on the GST portal. Let’s understand the complete details. 

Key Takeaways

• A hotel becomes a specified premise if the room tariff charged was above INR 7,500 per day in the previous financial year.
• Annexure VII for registered hotels and Annexure VIII for new registrations must be filed online on the GST portal.
• The declaration as a specified premise shall apply for the entire financial year and continue to apply for subsequent financial years unless opted out.
• For a first-time declaration, taxpayers must file Annexure VII for FY 2026-27 from 1st January 2026 to 31st March 2026.
• Up to 10 premises can be declared in a single filing of Annexure VII or Annexure VIII.

What is ‘Specified Premises’ Under GST?

'Specified premises' refers to hotel premises that meet either of the following conditions:

• The room tariff per day received in the previous financial year exceeded INR 7,500 per day, or
• The hotel itself opts to declare the premises as specified premises for the current financial year by filing the prescribed declaration.

A specified premises declaration ensures certainty in the application of GST rates for each service, reducing unnecessary disputes with the GST department and ensuring GST liabilities are correctly calculated for hotels.

GST Rates for Hotels and Restaurant Services in Specified Premises

Hotel accommodation, i.e., room tariffs of above INR 7,500, will attract GST at a rate of 18%. Restaurant Services supplied in specified premises will also attract GST at a rate of 18%.

It is important to note that the input tax credit (ITC) shall be available to specified premises. While for entities charging a room tariff below INR 7,500, GST will be levied at the rate of 5%, but ITC benefits shall not be available.

Types of Opt-In Declarations

Let’s now understand which declaration applies for filing in different scenarios- Annexure VII vs Annexure VIII, along with the due dates for filing specified premises declarations. 

1. Annexure VII – Existing Registered Taxpayers

• Applicable to existing and active GST hotel taxpayers.
• Annexure VII declaration can be filed between 1st January and 31st March for the next financial year. For example, for the financial year 2026-2027, the declaration can be filed between 01-01-2026 and 31-03-2026.
• Download Annexure VII Form (PDF)

2. Annexure VIII – New GST Registrants

• Applicable only at the time of new hotel registration under GST.
• Annexure VIII declaration must be filed within 15 days of ARN generation. For example, a person who submitted his GST registration application on 1st January 2025 will receive an ARN immediately. Accordingly, Annexure VIII must be submitted before 16th January 2025.
• Filing is permitted irrespective of whether the GSTIN has been allotted, provided the application is not rejected. Taxpayers cannot file Annexure VIII if the GST registration application is rejected, regardless of whether the 15 days have lapsed.
• Download Annexure VIII Form (PDF)

Note: The facility does not apply to composition taxpayers, TDS/TCS taxpayers, SEZ units/developers, casual taxpayers, or cancelled registrations.

How to File Specified Premises Declaration on GST Portal

As per the GSTN’s advisory dated 4th January 2026, online filing of the specified premises declaration is live on the GST portal. Earlier, the filing was manual. Below are the steps for online filing of annexures under the specified premises declaration-

• Log in to www.gst.gov.in
• Navigate to Services → Registration → Declaration for Specified Premises
• Select ‘Opt-In Declaration for Specified Premises’ and choose Annexure VII / VIII
• Select and verify eligible premises details (name, address, and PIN)
• Submit using EVC or DSC
• ARN is generated instantly and emailed to the authorised signatory
• Confirmation via email and SMS will be sent to all authorised signatories upon successful filing of the declaration.

How to Download Filed Declarations on the GST Portal

• Go to Services → Registration → Declaration for Specified Premises
• Select View / Download Filed Declarations (separate reference numbers are generated for each declared premise)
• Search using ARN or FY
• Download premise-wise PDF

Special Rules Hotels Must Know

• Specified Premises declaration is not available to composition dealers, TDS/TCS deductors, SEZ units, casual taxpayers, or cancelled registrations
• Multi-purpose premises must ensure accommodation, restaurants and other services are clearly identifiable
• The GST Portal allows a maximum of 10 premises to be selected in a single application, while separate declarations shall be issued for each premise.
• Hotels can file another declaration to cover more premises.