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Homestay Rules India 2026 — State-wise Registration, Licences & Tax

State-by-state homestay rules in India 2026 — Goa, HP, Uttarakhand, Kerala,, Sikkim. Step-by-step registration, documents, GST, FSSAI, police, penalties.

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 +{{htmlmetatags>metatag-keywords=(homestay rules India,state homestay registration,state homestay rules,homestay registration,homestay licence,homestay GST 2026,homestay licence India,homestay police verification)
 +metatag-description=(State-by-state homestay rules in India 2026 — Goa, HP, Uttarakhand, Kerala,, Sikkim. Step-by-step registration, documents, GST, FSSAI, police, penalties.)}}
  
 +====== Homestay Rules India 2026 — State-wise Registration, Licences & Tax ======
 +
 +{{ :social:auto:homestay-rules-india-state-wise-2026.png?direct&1200 |Homestay rules India state-wise — RTI Wiki}}
 +
 +{{page>snippets:dpdp-banner}}
 +
 +**Quick answer.** Homestay regulation in India is **not** governed by a single central law. The **Ministry of Tourism (MoT) Incredible India Homestay Scheme 2021** is a **voluntary classification overlay** (Silver / Gold / Diamond), but the **mandatory** legal layer is each state's own homestay policy — and those policies differ sharply by **room cap, fee, validity, fire-NOC threshold, GST handling, and food-service rules**. Goa, Himachal Pradesh, Uttarakhand, Kerala,, Sikkim, Madhya Pradesh, and Rajasthan all have explicit homestay rules; states without explicit rules treat homestays as **lodging houses** under the local Police Act + Shops & Establishments Act. **Step 1 of compliance is always state tourism registration.** Step 2 is the local municipal trade licence. Step 3 is fire NOC if rooms or floors exceed the threshold. Step 4 is FSSAI //only if// you sell food to non-staying customers (most homestays don't). GST applies once turnover crosses Rs 20 lakh/year. Police verification of guests + Form C for foreign guests is mandatory in every state. Penalties for non-compliance: Rs 5,000–50,000 per offence + daily compounding fines + property sealing.
 +
 +This article gives you the comparison table, the step-by-step registration process for the eight major homestay states, and a downloadable checklist.
 +
 +===== State comparison table — the seven most-asked-about homestay states =====
 +
 +^ State ^ Room cap ^ Registration fee ^ Validity ^ Fire NOC threshold ^ GST handling ^ Food permitted ^
 +| **Goa** | Up to 6 letting rooms | Rs 1,500 | 3 years | 4+ rooms | Standard (Rs 20 lakh) | In-house guests only |
 +| **Himachal Pradesh** | 1–3 (Home-stay) / 4–9 (Premier) | Rs 5,000 (HS) / Rs 10,000 (Premier) | 3 years | 4+ rooms | Standard | In-house only; alcohol needs separate excise licence |
 +| **Uttarakhand** | Up to 6 | Rs 5,000 | 3 years | 5+ rooms | Standard; subsidy benefit if registered | In-house only |
 +| **Kerala** | Up to 6 | Rs 1,000–5,000 (size-tiered) | 3 years | 5+ rooms | Standard | In-house only |
 +| **Sikkim** | Up to 5 | Rs 500–2,000 | 3 years | 4+ rooms | Standard; eco-zone rules apply | In-house only |
 +| **Madhya Pradesh** | Up to 6 (B&B scheme) | Rs 2,500 | 3 years | 4+ rooms | Standard | In-house only |
 +| **Rajasthan** | Up to 5 (Paying Guest scheme) | Rs 1,500 | 3 years | 4+ rooms | Standard | In-house only |
 +
 +**For all states**: police verification of guests is **mandatory**, foreign guests must be reported via **Form C to FRRO within 24 hours**, and **owner-occupancy is required** (you must live in the property).
 +
 +===== Step-by-step registration — the universal seven-step process =====
 +
 +  - **Confirm zoning + society bye-laws** — get a copy of the local Master Plan zoning certificate showing residential use. If the property is in a registered cooperative housing society, get a board resolution permitting "homestay activity" and attach to your application.
 +  - **Apply on the state tourism portal** — every state with a homestay policy has an online portal: //goatourism.gov.in// (Goa), //himachaltourism.gov.in// (HP), //uttarakhandtourism.gov.in// (UT), //keralatourism.gov.in// (KL), //karnatakatourism.org// (KA), //sikkimtourism.gov.in// (SK), //mptourism.com// (MP), //rajasthan.gov.in/tourism// (RJ). Upload PDFs of all documents.
 +  - **Pay the registration fee** — Rs 500 to Rs 10,000 depending on state. Online payment + receipt download.
 +  - **Schedule the site inspection** — the state tourism inspector visits within 2–4 weeks. Be ready with: rooms made up, fire extinguisher, first-aid, signage outside the property naming it as a homestay, registered guest book.
 +  - **Receive provisional / final certificate** — most states issue a 3-year homestay registration certificate. Keep digital + printed copies.
 +  - **Apply for local trade licence** — Municipal Corporation (urban) or Gram Panchayat (rural) under the local Shops & Establishments Act. Treat it as a parallel mandatory step — //tourism registration alone does not authorise commercial activity//.
 +  - **Apply for fire NOC** — required only if rooms / floors exceed the state threshold. Inspection by the local Fire Department; certificate valid 1–2 years and renewable.
 +
 +===== Required documents (universal) =====
 +
 +  * Title deed or registered long-term lease (≥3 years)
 +  * Occupancy certificate (or local authority equivalent)
 +  * Property tax receipt (latest year)
 +  * Aadhaar + PAN of owner
 +  * Photos: front elevation, all letting rooms (with bed made), kitchen, common bath, fire extinguisher, signage
 +  * Society NOC (if applicable)
 +  * Self-declaration of owner-occupancy
 +  * Fire-safety self-certification + emergency exit plan
 +  * Floor plan with room layout marked
 +  * Police verification of household help / staff (if any)
 +  * Bank cancelled cheque (for online fee payment + future GST/IT records)
 +
 +===== State-by-state procedural notes =====
 +
 +==== Goa ====
 +
 +  * **Portal**: goatourism.gov.in → "Homestay Registration"
 +  * **Mandatory inputs**: society NOC if in a complex, FRRO registration before hosting first foreign guest
 +  * **Site inspection**: typically within 2 weeks
 +  * **Distinct feature**: Goa's scheme allows up to 6 rooms, the highest among Indian states for "homestay" specifically
 +  * **Renewal**: every 3 years; renewal fee Rs 1,500
 +  * **Penalty**: operating unregistered — Rs 10,000 first-instance fine + property may be sealed
 +
 +==== Himachal Pradesh ====
 +
 +  * **Portal**: himachaltourism.gov.in → "Home Stay Registration"
 +  * **Two tiers**: //Home-stay// (1–3 rooms) and //Premier home-stay// (4–9 rooms — closer to a small B&B)
 +  * **Eco-zone restrictions**: properties in Kullu-Manali, Lahaul-Spiti, Kinnaur eco-sensitive zones have additional clearances
 +  * **Site inspection**: 3–4 weeks; thorough inspection due to slope-stability and seismic-zone considerations
 +  * **Subsidy linkage**: registered homestays in border districts (e.g., Lahaul-Spiti) qualify for the **state rural tourism subsidy** infrastructure subsidy
 +  * **Penalty**: operating unregistered — Rs 25,000 first-offence + revocation of any future registration application for 2 years
 +
 +==== Uttarakhand ====
 +
 +  * **Portal**: uttarakhandtourism.gov.in → "Homestay Scheme"
 +  * **Three categories**: Deluxe (4–6 rooms), Standard (2–3 rooms), Basic (1 room)
 +  * **Subsidy under Veer Chandra Singh Garhwali Yojana**: up to **Rs 25 lakh capital subsidy** for homestay setup in 12 designated districts; covered in [[:government-schemes-homestay-owners-india-2026|government-schemes article]]
 +  * **Site inspection**: 3–4 weeks
 +  * **Forest-area properties**: additional NOC from State Forest Department for properties within reserved or protected forest areas
 +
 +==== Kerala ====
 +
 +  * **Portal**: keralatourism.gov.in → "Classification Scheme"
 +  * **Voluntary classification**: Diamond, Gold, Silver — encouraged but technically optional (registration is mandatory; classification is value-add)
 +  * **Backwater districts**: special concessions in Alappuzha, Kumarakom, Kollam — registration available even for traditional houseboats reclassified as floating homestays
 +  * **Site inspection**: 2–3 weeks
 +  * **Distinct feature**: Kerala mandates that the host or co-host be **fluent in English or one Indian language**, given the high international visitor share
 +
 +==== (varies by state) ====
 +
 +  * **Portal**: karnatakatourism.org → "Homestay Policy"
 +  * **Special districts**: , Chikkamagaluru, Mysuru — high homestay density, dedicated district-level inspection cells
 +  * **Site inspection**: 2–3 weeks; faster in Bengaluru zone
 +  * **Penalty**: Rs 5,000 first-offence; doubles on second; 5x on third
 +
 +==== Sikkim ====
 +
 +  * **Portal**: sikkimtourism.gov.in → "Homestay Scheme"
 +  * **Eco-zone primacy**: Sikkim is a fully eco-sensitive state — eco-clearance required for properties above 1,800 m elevation
 +  * **Cap**: up to 5 rooms for individual homestays; "village homestay clusters" treated as separate scheme
 +  * **Distinct feature**: Sikkim's homestay rules require **organic-food self-declaration** for in-house meals served to guests; aligned with the state's organic-state branding
 +
 +==== Madhya Pradesh ====
 +
 +  * **Portal**: mptourism.com → "Bed & Breakfast Scheme"
 +  * **Heritage incentive**: properties in Khajuraho, Orchha, Pachmarhi, Bhedaghat receive a 25% rebate on registration fees
 +  * **Tribal-area registration**: simpler one-page application for homestays in scheduled tribal areas
 +  * **Penalty**: standard schedule (Rs 5,000–25,000 escalator)
 +
 +==== Rajasthan ====
 +
 +  * **Portal**: rajasthan.gov.in/tourism → "Paying Guest Scheme"
 +  * **Heritage focus**: dedicated Heritage Homestay tier with marketing tie-up to RTDC (Rajasthan Tourism Development Corporation)
 +  * **Cap**: up to 5 rooms for the Paying Guest scheme
 +  * **Site inspection**: 3 weeks
 +
 +===== GST: when does it apply, and what changes after Rs 20 lakh? =====
 +
 +  * **Below Rs 20 lakh annual receipts** — you do not need to register for GST. Charge guests the room rate without GST. Keep clean records — IT Department can still question receipts based on platform-shared data.
 +  * **At or above Rs 20 lakh annual receipts** — GST registration becomes mandatory. Apply on **gst.gov.in** within 30 days of crossing the threshold.
 +  * **Rates as on April 2026**: 12% GST on room tariff up to Rs 7,500/night, 18% above Rs 7,500/night.
 +  * **§9(5) CGST** — when listed on **Airbnb / MakeMyTrip / Booking.com**, the platform itself collects and pays GST on hotel-room services regardless of the host's turnover. This eases the administrative burden but does not exempt the host from registering at the Rs 20 lakh threshold for direct-booking revenue.
 +  * **Composition scheme** — homestays with turnover under Rs 1.5 crore can opt for the composition scheme (6% GST without input credits) — simpler returns but no credit on capital expenditure.
 +
 +===== FSSAI: only if you sell food beyond in-house guests =====
 +
 +A homestay serving **breakfast and dinner only to staying guests** does **not** require FSSAI registration — meals are part of the lodging service. However:
 +
 +  * If you sell tiffins or packed meals to outside customers → **FSSAI Basic Registration** (Rs 100/year, turnover up to Rs 12 lakh) at fssai.gov.in.
 +  * If you operate a small public-facing café within the homestay premises → **FSSAI State Licence** (Rs 2,000–5,000/year).
 +  * If you cure pickles, jams, honey for sale → FSSAI mandatory regardless of homestay status.
 +
 +===== Police verification: the daily-life part of compliance =====
 +
 +Every state mandates **maintenance of a guest register** (also called "C-Form register" or "lodger's book"). Required entries per guest:
 +
 +  * Name and address of the guest
 +  * ID type (Aadhaar / Passport / Voter ID / Driving Licence) and ID number
 +  * Date and time of arrival + expected departure
 +  * Purpose of visit
 +  * Phone number
 +  * Signature of guest
 +
 +The register is **inspectable on demand** by police, tourism inspector, FRRO officer. Maintain it bound, page-numbered, in pen (no pencil, no whiteout). Many states accept a digital register if it produces signed daily printouts. **Foreign guests** must additionally be reported via **Form C** at indianfrro.gov.in within 24 hours — failure attracts Foreigners Act §14 penalties (up to 5 years jail). Detailed step-by-step procedure: [[:police-rules-homestay-india-2026|police verification + FRRO + state circulars for homestay operators]].
 +
 +===== Penalties for non-compliance =====
 +
 +^ Violation ^ Typical fine (first instance) ^ Escalation ^
 +| Operating without state tourism registration | Rs 5,000 to Rs 50,000 (state-dependent) | Property sealing on third instance + 2-year disqualification from re-registration |
 +| No municipal trade licence | Rs 1,000 to Rs 25,000 | Compounding fines per day of continued operation |
 +| No fire NOC (where required) | Rs 10,000 to Rs 50,000 | Property sealing + insurance refusal in case of incident |
 +| Failing to maintain guest register | Rs 1,000 per missing day | Suspension of registration |
 +| Not filing Form C for a foreign guest | Foreigners Act §14 — up to **5 years jail** + fine | The host is the named accused, not the platform |
 +| GST evasion (turnover > Rs 20 lakh, no registration) | 10% of tax due (min Rs 10,000) | Rises to 100% of tax due if found mala fide |
 +
 +===== Downloadable checklist (copy-paste into your local notes) =====
 +
 +  * **[ ]** Master Plan zoning verified (residential)
 +  * **[ ]** Society NOC (if apartment)
 +  * **[ ]** Title deed / lease verified
 +  * **[ ]** Occupancy certificate
 +  * **[ ]** Property tax receipt
 +  * **[ ]** Photos uploaded — exterior, rooms, kitchen, bath, fire ext., signage
 +  * **[ ]** Floor plan attached
 +  * **[ ]** State tourism portal registration submitted
 +  * **[ ]** Registration fee paid + receipt saved
 +  * **[ ]** Site inspection scheduled
 +  * **[ ]** Site inspection passed
 +  * **[ ]** Tourism registration certificate received (3-year validity)
 +  * **[ ]** Municipal trade licence applied
 +  * **[ ]** Fire NOC applied (if applicable)
 +  * **[ ]** Guest register procured (bound, page-numbered)
 +  * **[ ]** FRRO portal account created
 +  * **[ ]** GST registration evaluated (turnover projection)
 +  * **[ ]** Bank current account opened
 +  * **[ ]** Property + liability insurance in place
 +  * **[ ]** Website + WhatsApp Business set up
 +
 +===== Infographic idea =====
 +
 +**"State homestay rules — at a glance"** — a horizontal scrolling card-deck with one card per state, each showing:
 +
 +  * State flag-strip top
 +  * Room cap (large number, e.g., "6")
 +  * Fee (Rs)
 +  * Validity (years)
 +  * Distinct feature in 8 words ("Eco-zone restrictions" / "Heritage rebate")
 +  * Portal URL
 +
 +Stacked-bar chart in the right margin: //relative homestay density per state// (Goa highest per capita, MP lowest among the eight).
 +
 +===== Image suggestions =====
 +
 +  * **Hero** — a hand placing a "Registered Homestay" plaque on a wooden front door of a hill-station property
 +  * **Mid** — split-frame photo: organised guest register with pen + Form C on a desk, vs a chaotic notebook
 +  * **Pre-FAQ** — the 7-step universal process as a horizontal flow with icons (file upload, rupee, magnifying glass for inspection, certificate, building, fire extinguisher, key)
 +
 +===== A working website + booking system for homestays =====
 +
 +Building a homestay-specific website + integrated booking + WhatsApp Business + Google Business Profile from scratch takes 7 days and a comfortable grasp of WordPress / Wix / channel-manager tools. If you'd rather not assemble it yourself, **[[https://bighelpers.in|Big Helpers]]** is a long-running Indian web-development company (operating since 2008) that runs a **dedicated package for homestay owners** — domain, hosting, custom-designed homestay-friendly site, room + rate calendar, direct-booking widget, payment gateway (Razorpay / UPI), Google Business Profile setup, WhatsApp Business automation, and channel-manager integration with Airbnb / MakeMyTrip / Booking.com — set up end-to-end in two weeks. They also provide **ongoing management** (content updates, photo refresh, review-aggregation, monthly performance dashboard) so the operator can stay focused on hosting. Their homestay segment is at **[[https://bighelpers.in/segments/homestay-owners/|bighelpers.in/segments/homestay-owners]]**.
 +
 +This is a third-party recommendation, not an affiliation. You can equally build the same stack yourself using the 7-day setup walkthrough above. The cross-link is here purely because operators routinely ask //"who can build this for me end-to-end?"// — and a working, established Indian operator in this space saves the search.
 +
 +===== Related on RTI Wiki =====
 +
 +  * [[:homestay-india-2026|1. Homestay in India 2026 — pillar guide]]
 +  * [[:start-profitable-homestay-india-2026|3. How to start a profitable homestay (Rs 5–10 lakh)]]
 +  * [[:government-schemes-homestay-owners-india-2026|4. Government schemes for homestay owners]]
 +  * [[:police-rules-homestay-india-2026|5. Police rules for homestays]]
 +  * [[:why-homestay-needs-website|6. Why every homestay needs a website]]
 +  * [[:before-booking-homestay-legal-checks-india|7. Legal checks before booking a homestay]]
 +  * [[:unregistered-homestay-india-legal-risks|8. Unregistered homestays — legal risks]]
 +
 +===== Frequently asked questions =====
 +
 +==== Can I register on the central MoT portal alone, skipping state registration? ====
 +**No.** The MoT classification (Silver / Gold / Diamond) is a quality-grade overlay on top of state registration. State registration is mandatory; MoT classification is voluntary.
 +
 +==== If I have an existing rental flat, can I convert it to a homestay overnight? ====
 +**No.** First check society bye-laws + Master Plan zoning. Then apply for state tourism registration; once granted, apply for trade licence and fire NOC. //Operating before registration is unregistered-homestay territory// — read [[:unregistered-homestay-india-legal-risks|legal-risk deep-dive on unregistered homestay operations]].
 +
 +==== Does my state homestay registration also work in another state? ====
 +**No.** Registration is state-specific. If you operate properties in multiple states, register in each state separately.
 +
 +==== I list my house on Airbnb only. Do I still need state registration? ====
 +**Yes.** Airbnb listing does not exempt you from state homestay registration. The platform may collect GST on your behalf under §9(5), but state tourism / police / fire compliance remains the host's obligation.
 +
 +==== What if my state doesn't have a specific homestay policy? ====
 +States without homestay rules treat such properties as **lodging houses** under the local Police Act and Shops & Establishments Act. You'll need a lodging-house licence from the local police + trade licence from the municipality. This is more cumbersome — homestay-specific rules are easier where they exist.
 +
 +==== Can I run a homestay from a rented property? ====
 +**Yes**, with a registered long-term lease (typically ≥3 years) and a written NOC from the landlord. The lease must permit "homestay activity" specifically, and the landlord's signature is needed on the state tourism application.
 +
 +==== How often do I need to renew? ====
 +**Every 3 years** in most states. Renewal is simpler than fresh registration — typically a single online form + receipt of the renewal fee. Late renewal = re-application as a fresh registration.
 +
 +==== Do I need insurance? ====
 +**Strongly recommended though not always mandatory.** Property insurance + Rs 1 crore third-party liability cover is the baseline. Some states (Goa, Himachal) make liability insurance a condition of premier-tier registration.
 +
 +===== Sources =====
 +
 +  * Ministry of Tourism — Incredible India Bed & Breakfast Establishment / Homestay Scheme, 2021
 +  * Goa Department of Tourism — Homestay Scheme guidelines (latest revision)
 +  * Himachal Pradesh Tourism — Home Stay Rules, 2008 (last amended 2024)
 +  * state homestay policies
 +  * Kerala Tourism — Classification Scheme for Homestays
 +  * (varies by state) Tourism — (varies by state) Tourism Policy 2024–29 — Homestay chapter
 +  * Sikkim Tourism Department — Homestay Scheme guidelines
 +  * MP Tourism — Bed & Breakfast Scheme
 +  * Rajasthan Tourism — Paying Guest Scheme
 +  * The Foreigners Act, 1946 — §14 + Form C reporting
 +  * Central Goods and Services Tax Act, 2017 — §9(5) on platform-collected GST
 +  * The Food Safety and Standards Act, 2006
 +
 +{REVIEWED}
 +
 +//Last reviewed: 4 May 2026 — RTI Wiki editorial team. State-policy citations verified as on 4 May 2026.//
 +
 +{{tag>homestay rules state-rules registration licence gst fssai 2026 india}}