Housing · perquisite
Guest house accommodation
Short stays in an employer guest house on duty are not a perquisite; personal use is.
How the taxable value is determined
Accommodation provided at a place of work on tour or transfer for a limited period is excluded. Personal-use stays are valued like hotel accommodation or at the employer's cost.
Regime availability
- Old regime
- Prescribed value applies
- New regime
- Prescribed value applies
Documentation to keep
Booking records showing dates and business purpose.
Legal basis: Rule 3(1), Income-tax Rules
Frequently asked questions
Is guest house accommodation taxable in India?
Short stays in an employer guest house on duty are not a perquisite; personal use is. Accommodation provided at a place of work on tour or transfer for a limited period is excluded. Personal-use stays are valued like hotel accommodation or at the employer's cost.
Does the exemption apply under the new tax regime?
Under the old regime this treatment is not applicable — the value is prescribed, not exempted; under the new regime it is not applicable — the value is prescribed, not exempted. Legal basis: Rule 3(1), Income-tax Rules.
What records should I keep for guest house accommodation?
Booking records showing dates and business purpose.
Related tools & guides
Reflects provisions in force for FY 2026-27; verify against the latest government publications (incometax.gov.in). Information, not tax advice.