| Rule | Details |
|---|---|
| Regulatory Status | Permitted with registration |
| Permit / License Required | Yes — state/local registration (homestay/B&B); no single national license |
| Tax Rate | GST 5% (room tariff ≤₹7,500/night) or 18% (>₹7,500), effective 22 Sep 2025; platforms collect 1% TCS |
| Night / Day Cap | None nationally |
| Minimum Stay | None nationally |
| Permit Fee | Varies by state (e.g., ₹100–₹18,000) |
| Penalties | GST non-compliance: late-filing fees, 18% p.a. interest, penalties (10% of tax or ₹10,000 min) |
| Primary Residence Required | Yes for 'homestay' classification (owner must reside); not for B&B/serviced apartments |
| Occupancy Limit | Typically governed by room count (usually 1–6 lettable rooms for homestays) |
Short-term rental operations in Nationwide are permitted under an active regulatory framework as of 2026. Hosts operating on Airbnb, VRBO, or other vacation rental platforms must obtain proper licensing: Yes — state/local registration (homestay/B&B); no single national license. The associated permit fees are Varies by state (e.g., ₹100–₹18,000).
Short-term rental operators in Nationwide should be aware of these tax obligations: GST 5% (room tariff ≤₹7,500/night) or 18% (>₹7,500), effective 22 Sep 2025; platforms collect 1% TCS. GST registration if turnover exceeds ₹20 lakh (₹10 lakh in special-category states).
Key operational rules for vacation rental hosts in Nationwide include: Primary residence requirement: Yes for 'homestay' classification (owner must reside); not for B&B/serviced apartments. Rental day cap: None nationally. Occupancy limit: Typically governed by room count (usually 1–6 lettable rooms for homestays). Minimum stay: None nationally.
Zoning considerations for short-term rentals in Nationwide: Residential vs commercial use distinction; housing-society/HOA bylaws may restrict. Insurance: Not mandated nationally (recommended).
Hosts who fail to comply with Nationwide's short-term rental regulations may face enforcement action. GST non-compliance: late-filing fees, 18% p.a. interest, penalties (10% of tax or ₹10,000 min).
Platform obligations for services like Airbnb, VRBO, and Booking.com operating in Nationwide: Platforms (Airbnb) collect & remit GST for unregistered hosts and collect 1% TCS.
Apply for your STR permit or registration directly through the official government portal.
Official Source ↗Yes, Airbnb and short-term rentals are legal in Nationwide with proper registration and permits. Dual framework: MoT Incredible India Bed & Breakfast/Homestay Scheme 2021 + state tourism rules; Form C filing to FRRO for foreign guests
Yes. Nationwide requires the following for short-term rental operation: Yes — state/local registration (homestay/B&B); no single national license.
Short-term rental hosts in Nationwide are subject to the following tax obligations: GST 5% (room tariff ≤₹7,500/night) or 18% (>₹7,500), effective 22 Sep 2025; platforms collect 1% TCS.
Hosts who operate without proper permits in Nationwide may face enforcement. GST non-compliance: late-filing fees, 18% p.a. interest, penalties (10% of tax or ₹10,000 min).
Primarily regulated by state and local laws rather than national; 'homestay' is the common STR term
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