{"id":5112,"date":"2025-07-29T17:16:06","date_gmt":"2025-07-29T11:46:06","guid":{"rendered":"https:\/\/www.centaxonline.com\/blog\/?p=5112"},"modified":"2025-07-29T17:16:06","modified_gmt":"2025-07-29T11:46:06","slug":"govt-of-jk-is-liable-to-pay-gst-on-hotel-accommodation-for-its-security-forces-to-hoteliers-hc","status":"publish","type":"post","link":"https:\/\/www.centaxonline.com\/blog\/govt-of-jk-is-liable-to-pay-gst-on-hotel-accommodation-for-its-security-forces-to-hoteliers-hc","title":{"rendered":"Govt. of J&K is liable to pay GST on hotel accommodation for its security forces to hoteliers: HC"},"content":{"rendered":"
Case Details: Iqbal Mubarik<\/span> Versus<\/span> U.T. of Jammu & Kashmir<\/span> (2025) 32 Centax 328 (J & K and Ladakh)<\/span><\/span><\/a>\u00a0<\/span><\/pre>\n
Judiciary and Counsel Details<\/em><\/h2>\n
    \n
  • Sanjeev Kumar<\/span>\u00a0<\/strong>and\u00a0SANJAY PARIHAR<\/span>, JJ.<\/strong><\/li>\n
  • S\/Shri Manzoor A. Dar <\/strong>and Muzamil Jabeen,<\/strong> Advs. for the Petitioner.<\/li>\n
  • Ms. Maha Majeed, Assisting Counsel <\/strong>and Mohsin Qadri,<\/strong> Sr. AAG for the Respondent.<\/li>\n<\/ul>\n
    Facts of the Case<\/em><\/h2>\n
    The Petitioner, a hotel owner, had rented out hotel premises to the Police Department of the Government of Jammu and Kashmir for accommodating Central Security Forces engaged in maintaining law and order in the valley. The rent was fixed at Rs. 300 per room per day by the Government in the year 2013. With the implementation of the GST regime in 2017, and pursuant to Notification SO 390 of 2022 dated 22-08-2022 issued by the Government of Jammu and Kashmir, renting of property, whether residential or commercial, came to be treated as a supply of services taxable under the GST regime. The GST authorities raised a demand on the Petitioner towards tax on the rental income. The Petitioner did not dispute the liability to pay GST on the rental income under section 9 read with section 7 of the CGST Act and the Jammu and Kashmir GST Ac<\/span>t<\/span> but submitted that the amount of GST payable was over and above the fixed rent and therefore should be reimbursed separately by the Government. The matter was accordingly placed before the <\/span>Jammu & Kashmir and Ladakh<\/span> High Court.<\/span><\/span>\u00a0<\/span><\/p>\n
     <\/p>\n
    \u00a0High<\/span>\u00a0Court Held<\/em>\u00a0<\/span><\/h2>\n
    The<\/span> Jammu & Kashmir and Ladakh<\/span> High Court held that with the enforcement of the CGST Act and the Jammu and Kashmir GST Act, rental income received by the <\/span>Petitioner and other similarly situated hoteliers for accommodating Government security forces is taxable at the rate of 1<\/span>2%<\/span>. It was further held that invoices of rent must include the rental amount fixed by the Government on the recommendation of the Rent Assessment Committee plus GST as applicable. The amount of GST so collected by the Petitioner from the Department of Home is then to be deposited with the GST authorities in discharge of the statutory tax liability on the supply of services. The Court concluded that it is the liability of the Department of Home, Government of Jammu and Kashmir, to pay the prescribed rate of GST in addition to the rent payable per room per day.<\/span><\/span>\u00a0<\/span><\/p>\n
     <\/p>\n
     <\/p>\n","protected":false},"excerpt":{"rendered":"
    Case Details: Iqbal Mubarik Versus U.T. of Jammu & Kashmir (2025) 32…<\/p>\n","protected":false},"author":16,"featured_media":5116,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[38,177,47],"tags":[],"class_list":["post-5112","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-customs","category-customs-news","category-custom-case-chronicles"],"yoast_head":"\nGovt. of J&K is liable to pay GST on hotel accommodation for its security forces to hoteliers: HC - Centax-Blogs<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.centaxonline.com\/blog\/govt-of-jk-is-liable-to-pay-gst-on-hotel-accommodation-for-its-security-forces-to-hoteliers-hc\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" 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