Opt-In Declaration for Specified Premises under GST – Complete Guide (FY 2026–27)
GST Update by CA Devesh Thakur
Updated on 4 January 2026
The Government has operationalised the online facility for filing the Opt-In Declaration for Specified Premises on the GST Portal pursuant to Notification No. 05/2025 – Central Tax (Rate) dated 16 January 2025. This change directly impacts hotels, resorts, lodges, and all suppliers of hotel accommodation services.
This Google AdSense-ready guide explains the concept, applicability, timelines, filing process, and compliance impact in a clear and practical manner.
What Are “Specified Premises” Under GST?
Under GST law, hotel accommodation services are classified based on whether the premises qualify as specified premises.
A premises will be treated as a specified premises if any one of the following conditions is satisfied:
- Any unit of accommodation was supplied at a value exceeding ₹7,500 per unit per day in the preceding financial year, or
- The supplier opts in by filing the prescribed declaration within the allowed time, or
- A person applying for GST registration files the declaration within 15 days of ARN generation.
Once a premises is declared as specified premises, the applicable GST rate structure changes, and this status continues automatically for future years unless an opt-out declaration is filed.
Why the Opt-In Declaration Is Important
Many hotel businesses do not cross the ₹7,500 threshold every year. However, GST law allows such taxpayers to voluntarily declare their premises as specified premises.
This declaration is not a procedural formality. It directly affects:
- GST rate applicability
- Classification of hotel accommodation services
- Audit and litigation exposure
- Long-term compliance position
Missing the declaration window can lead to wrong tax application and disputes during GST audits.
Who Is Eligible to File the Declaration?
Eligible Taxpayers
The opt-in declaration can be filed by:
- Regular GST taxpayers (Active or Suspended)
- Persons supplying hotel accommodation services
- Applicants for new GST registration intending to provide hotel accommodation services
Taxpayers Not Eligible
The facility is not available to:
- Composition scheme taxpayers
- TDS or TCS deductors
- SEZ units or SEZ developers
- Casual taxable persons
- Taxpayers with cancelled GST registrations
A cancelled GSTIN cannot file the declaration under any circumstances.
Types of Declarations Available on the GST Portal
The GST Portal now supports the following declarations electronically:
Annexure VII – Opt-In Declaration for Registered Persons
- Applicable to existing registered taxpayers
- Used to declare premises as specified premises for a subsequent financial year
- Filed once, but continues to apply unless opted out
Annexure VIII – Opt-In Declaration for Persons Applying for Registration
- Applicable to new GST registration applicants
- Must be filed within 15 days of ARN generation
- Effective from the date of registration
Annexure IX – Opt-Out Declaration
- Used to withdraw specified premises status
- Will be enabled separately on the GST Portal
Critical Timelines You Must Not Miss
Existing Registered Taxpayers (Annexure VII)
- Filing window: 1 January to 31 March of the preceding financial year
- For FY 2026–27, the declaration can be filed from:
1 January 2026 to 31 March 2026
Failure to file within this window means the option is lost for the entire financial year.
New GST Registration Applicants (Annexure VIII)
- Must be filed within 15 days from the date of ARN generation
- Filing is allowed even if GSTIN is not yet allotted
- Filing is not allowed if the registration application is rejected
If the 15-day period lapses, the applicant must wait until the next January–March window.
Step-by-Step Process to File Declaration on GST Portal
- Log in to www.gst.gov.in
- Navigate to:
Services → Registration → Declaration for Specified Premises - Select Opt-In Declaration for Specified Premises
- Choose eligible premises (maximum 10 per declaration)
- Submit the declaration using EVC
- On successful submission:
- ARN is generated
- Email and SMS confirmation is sent to authorised signatories
Important Compliance Points to Remember
- Maximum 10 premises can be selected in one declaration
- Separate reference numbers and PDFs are generated for each premises
- Additional declarations can be filed for remaining premises within the same window
- Suspended GST registrations are allowed to file
- Cancelled registrations are strictly barred
- The declaration continues for future years unless Annexure IX (Opt-Out) is filed in time
Special Note for FY 2025–26 Taxpayers
For FY 2025–26, opt-in declarations were filed manually with jurisdictional GST authorities. With the launch of the online facility, such taxpayers are required to:
- Re-file Annexure VII electronically for FY 2026–27
- Filing period: 1 January 2026 to 31 March 2026
Non-filing may result in incorrect GST rate application and compliance disputes.
Final Takeaway
The Opt-In Declaration for Specified Premises is a high-impact GST compliance requirement for hotels and accommodation service providers.
Timely filing ensures:
- Correct GST rate application
- Reduced audit risk
- Compliance certainty
Taxpayers should review their premises status immediately and complete the declaration well before 31 March 2026.
Connect with CA Devesh Thakur
Stay updated with structured Income Tax learning, section-wise breakdowns, practical insights, and regular tax updates across platforms:
