Today, the hospitality sector (which includes tourism) is one of the fastest growing sectors in India with a growth rate of 8 per cent between 2007 and 2016. The boom in travel and tourism has led to the further development of the hospitality industry. Consequently, the hospitality industry is expanding globally and promoting its growth in a dynamic, diverse environment. Hotels contribute to the output of goods and related services which build the well-being of their nations and communities. India is the world’s most attractive tourism spot which is why domestic and international tourists always have the country on their travel list.
In order to make use of this advantage and also streamline the tax system, the Government of India initiated the Goods and Services Tax bill in the Parliament on 1st July 2017. This introduction of GST affected the different taxes levied by the State governments on their respective tourist sites The present study has been taken up to determine whether the GST system has increased or decreased the burden on the hotel industry as well as the tourists.
