13th October 2016
To, All Members,
Sub: Luxury Tax on hotels in Delhi
As you are aware the matter of rationalization of luxury tax was taken up with the Chief Minister and Tourism Minister of Delhi by our President and the following requests were made:-
a) Luxury tax to be charged on the actual tariff instead of rack rate.
b) Luxury tax to be exempted on room rent of Rs. 2000/- and below.
Both the above issues were under consideration by the Delhi Government.
However, Delhi Government has decided to exempt luxury tax on hotel room rent of Rs. 1500/- and below. A copy of notification issued by the Delhi Government is attached for your information.