The licences and registrations to open a hotel in India

To open a hotel in India you usually need GST registration once your turnover passes the limit, food safety registration or a licence from FSSAI, a fire safety certificate from the fire service, a trade licence and health clearance from the municipality or panchayat, police clearance, consent from the state pollution control board for your size, and your state tourism department's registration where its law asks for one. Which of these you need, from which office and on what terms, varies by state and city, so this guide gives each as an official page describes it and sends you to the office that decides. The Ministry of Tourism's star classification and NIDHI are voluntary, not licences.

Also called: hotel licence India, licenses required to open a hotel in India, hotel license, hotel registration India, documents required to start a hotel, guest house licence, lodging licence, hotel NOC.

A OneHorizyn guide. Updated .

The list, and why it varies

The Ministry of Tourism's guidelines for star classification list the licences and NOCs a hotel shows its inspectors. Whether or not you ever apply, it makes a useful national checklist:

  • A trade licence to operate as a hotel.
  • An NOC from the fire department.
  • A health clearance from the municipal health officer or sanitary inspector.
  • An NOC from the police.
  • Consent to operate from the state pollution control board.
  • A bar licence, where you serve alcohol.
  • Where they apply: an NOC from the environment ministry, from the Airports Authority of India near an airport, and coastal regulation zone (CRZ) clearance.
  • Land use permission, sanctioned building plans and the occupancy certificate.

Add GST, FSSAI and, in some states, the tourism department's registration. Each comes from a different law and office, and states, cities and panchayats set many of them, so the same hotel needs different papers in Shimla, Panaji and Delhi. The Ministry itself says its approval is no substitute for any statutory approval.

GST registration

You register for GST once, on the GST portal, against the business's PAN, which the portal says is mandatory for it.

₹20 lakh

The turnover above which a supplier of services must register for GST, or ₹10 lakh in Manipur, Mizoram, Nagaland and Tripura, as the Central Board of Indirect Taxes and Customs summarised the law on 1 June 2019. Registering below it is voluntary.

Source: Central Board of Indirect Taxes and Customs: GST, an update, as on 1 June 2019, read
5%

GST on hotel accommodation of up to ₹7,500 a unit a day, without input tax credit, from 22 September 2025, as the GST Council recommended at its 56th meeting. It was 12% with input tax credit before.

Source: Press Information Bureau: recommendations of the 56th meeting of the GST Council, 3 September 2025, read

Apply within 30 days of becoming liable and your registration counts from that day, the portal's manual says. On www.gst.gov.in, choose “Services”, then “Registration”, then “New Registration”: Part A takes the PAN, email and mobile, and Part B the business details, the place of business with proof, and Aadhaar authentication (the full steps are in the guide on starting a hotel business). A homestay may need GST sooner than the limit: Himachal Pradesh requires a GST number for its Diamond and Gold categories.

Food safety: FSSAI registration or licence

If you serve food, you are a food business. FSSAI's licensing regulations, in the version FSSAI publishes, set three levels:

  • Registration, for a petty food business, with the registering authority: a food safety officer, or an official of the panchayat, municipality or other local body.
  • A licence from the state's licensing authority, for food businesses above that size.
  • A central licence from FSSAI, for the kinds of business its Schedule 1 lists, such as a food business operating in two or more states.
₹12 lakh

The annual turnover up to which a small food business counts as a petty food business under FSSAI's licensing regulations, and registers rather than taking a licence, along with limits on how much food it makes or handles a day.

Source: FSSAI: Licensing and Registration of Food Businesses Regulations, 2011, version of 9 November 2017, read
  • A registration is granted, refused, or sent for inspection within 7 days. If nothing happens in that time, the regulations let you start the business.
  • A licence is due within 60 days of a complete application.
  • Both last from 1 to 5 years, as you choose, and you apply to renew at least 30 days before they end.

FSSAI's online portal is FoSCoS, at foscos.fssai.gov.in. For homestays, states may ask less: Kerala's homestay scheme asks for food safety registration and says no licence is needed, and Goa's policy lets a homestay serving home-cooked food ask to be exempted.

Fire safety certificate

The fire service of your state or city gives the fire safety certificate, or fire NOC, under its own act and rules. How it works in Delhi, as the Delhi Fire Service describes it:

  1. 1While the building is planned, the Delhi Fire Service issues fire safety guidelines, in line with the Unified Building Bye Laws, 2016 and the National Building Code. The request goes through the building or licensing authority, with plans and a questionnaire your architect fills in.
  2. 2The guidelines usually come within three weeks, if the information is correct.
  3. 3Once the building follows them, the owner or builder applies to the Director for the no objection certificate, and the fire service inspects.
  4. 4The fire service charges no inspection fee for this inspection or for the NOC.
  5. 5A hotel's fire safety certificate is renewed every 3 years (residential buildings other than hotels, every 5), and the renewal is applied for at least six months before it ends.

Other states have their own fire services, acts and timelines, so ask yours at the planning stage, before the building is finished. A homestay may need less: Himachal Pradesh's rules ask for basic fire equipment, and Goa lists a fire NOC among the local permissions it may ask for.

Trade licence and health clearance

The municipal corporation, municipality, nagar panchayat or gram panchayat where the hotel stands gives the trade licence to run it, and checks sanitation. The licence's name, form and fee are the local body's own. What the official pages ask for:

  • The Ministry of Tourism, for a classified hotel: a trade licence to operate as a hotel, the municipality's or corporation's certificate that it is registered as a hotel, and a health NOC from the municipal health officer or sanitary inspector.
  • The Ministry, for an approved guest house: the municipality's licence registering it as a guest house, with its sanitary and hygiene clearance, and registration with the police, municipality, electricity, water and fire authorities and the state tourism department.
  • Goa, for a homestay: local permissions as the case needs, such as the trade licence from the panchayat or municipality.
  • Himachal Pradesh, for a homestay: tell the urban or rural local body, which keeps a register of homestays.
  • Kerala, for homestay classification: no NOC from the panchayat, municipality or corporation, since 3 June 2022.

Ask your local body's licensing or health department what it issues for a hotel, guest house or lodging, and what it needs to see first.

Police clearance and foreign guests

  • Police clearance: the Ministry of Tourism asks a classified hotel for the police department's NOC, and an approved guest house for the police licence that authorises it to run. For homestays its form asks whether the police have cleared the owner's antecedents, and Kerala asks for a police clearance certificate from the local station house officer.
  • Guest register: keep a record of every guest's check-in and check-out; the Ministry's homestay checklist asks for passport details of foreign guests.
  • Foreign guests: every keeper of accommodation, from hotels and boarding houses to home stays, tents and paying guest houses, sends Form III, earlier called Form C, to the registration officer within 24 hours of a foreign guest's arrival, and the departure within 24 hours of leaving, on indianfrro.gov.in or its app. Overseas Citizen of India cardholders are now included. Keep the records electronically for at least a year.

In Delhi, the fire service's website also links to the Ministry of Home Affairs' unified portal for licensing eating, lodging and boarding establishments. Ask your local police station what your city asks of a hotel or lodging.

Pollution control board consent

The Central Pollution Control Board sorts businesses into red, orange, green and white categories by how much they pollute. For hotels, motels and resorts, its list as on 24 August 2026 goes by the number of rooms:

  • Above 300 rooms: red, or orange with cleaner or gas fuel in the kitchen and its conditions.
  • 101 to 300 rooms: orange.
  • 21 to 100 rooms: orange, or green with cleaner or gas fuel in the kitchen and its conditions.
  • Up to 20 rooms: green, or white with cleaner or gas fuel in the kitchen and its conditions.

The conditions include gensets that meet the CPCB IV+ norms or run fully on gas, electric or gas boilers, an oil and grease trap at the kitchen outlet, and wastewater handled as the CPHEEO's 2013 manual on sewerage sets out; in the green band for 21 to 100 rooms, a hotel of more than 50 rooms needs its own sewage treatment plant. Your state pollution control board tells you which consents your category needs, and when. The Ministry of Tourism asks classified hotels for the board's consent to operate.

Tourism department registration

Some states have their own law for tourist businesses:

  • Himachal Pradesh: the Tourism Development and Registration Act, 2002 and its Home Stay Rules, 2025, under which no homestay may run unregistered.
  • Goa: the Goa Registration of Tourist Trade Act, 1982, under which homestays and bed and breakfasts register with the Department of Tourism.
  • Kerala: homestay classification is mandatory.
  • Uttarakhand: the Uttarakhand Tourism Travel Trade Registration Rules, 2026, and homestay registration on the tourism board's portal.

The Ministry of Tourism's own schemes are voluntary: star classification, guest house approval and the Incredible India homestay scheme. So is NIDHI, whose registration page says it doesn't replace any legal requirement of the centre or a state. For rural homestays, the Ministry's draft strategy asks states to exempt them, where feasible, from needing a licence under the Sarais Act, 1867 or similar laws to provide food and lodging; it is a draft, so check what your state does.

In what order to apply

  1. 1Before you buy or build: check that the land use allows a hotel, and ask the pollution control board and the fire service what your size needs.
  2. 2While you build: building plan sanction, the fire service's guidelines, and the pollution control board's consent to establish if your category needs one.
  3. 3As the building finishes: the occupancy or completion certificate, the fire safety certificate, and the board's consent to operate.
  4. 4Before you open: PAN, GST registration if you need it, FSSAI registration or licence, the trade licence and health clearance, police clearance, your state's tourism registration, and the bar licence if you serve alcohol.
  5. 5Before your first foreign guest: sign up on the Form C portal.
  6. 6Then, if you choose: NIDHI and the Ministry's classification.

Keep a list of every licence with its number, the office, the date it ends and the date to apply for renewal. FSSAI wants renewals at least 30 days ahead, the Delhi Fire Service six months ahead, and the Ministry's classification six months ahead.

Sources

  1. Central Board of Indirect Taxes and Customs: GST, an update, as on 1 June 2019, read
  2. Press Information Bureau: recommendations of the 56th meeting of the GST Council, 3 September 2025, read
  3. FSSAI: Licensing and Registration of Food Businesses Regulations, 2011, version of 9 November 2017, read
  4. Ministry of Tourism: guidelines for approval of hotel projects and star classification of operational hotels, as NIDHI publishes them, read
  5. Ministry of Tourism: guidelines for approval of guest houses, read
  6. Ministry of Tourism: common national standards and guidelines for Incredible India Bed & Breakfast and Homestay Establishments, 10 December 2018, read
  7. Ministry of Tourism: draft National Strategy for Promotion of Rural Homestays, 29 January 2022, read
  8. NIDHI, Ministry of Tourism: registration disclaimer, read
  9. GST portal user manual: apply for registration as a normal taxpayer, read
  10. Delhi Fire Service: its act and rules, and how guidelines and NOCs are issued, read
  11. Delhi Fire Service: renewal of the fire safety certificate, read
  12. Bureau of Immigration: obligations of hotels, hospitals and educational institutes, read
  13. Bureau of Immigration: the Form C portal for accommodation providers, read
  14. Central Pollution Control Board: list of sectors it has classified, as on 24 August 2026, read
  15. Central Pollution Control Board: categorisation of industrial sectors, read
  16. Himachal Pradesh: the Home Stay Rules, 2025, notified 25 June 2025, read
  17. Goa Department of Tourism: Homestay and Bed & Breakfast Policy, read
  18. Kerala Department of Tourism: documents for homestay classification, read
  19. Kerala Department of Tourism: classification of homestays, read
  20. Uttarakhand Tourism Development Board: its website, read
Questions

Questions hotels ask

Which licences do I need to open a small hotel in India?

Usually: GST registration once your turnover passes the limit, FSSAI registration or a licence for food, a fire safety certificate, a trade licence and health clearance from the municipality or panchayat, police clearance, pollution control board consent for your number of rooms, and your state's tourism registration where it has a law for it. Ask each local office what it asks of a hotel your size.

Is a star rating or NIDHI registration a licence?

No. Both are voluntary. NIDHI's own page says registering doesn't replace any legal requirement for running a place to stay.

How long is a fire safety certificate valid?

It depends on your state. In Delhi, a hotel's fire safety certificate is renewed every 3 years, with the renewal applied for at least six months before it ends.

Do I need an FSSAI licence if I only serve breakfast?

You need at least FSSAI registration. A small food business up to the turnover in the figure above registers rather than taking a licence; above it, it needs a licence.

Does a hotel with 20 rooms need pollution control board consent?

The Central Pollution Control Board puts hotels of up to 20 rooms in its green category, or white with cleaner or gas fuel in the kitchen and its conditions. Your state pollution control board tells you what that category needs.

When must I file Form C for a foreign guest?

Within 24 hours of the guest's arrival, and the departure within 24 hours of leaving, online on the Bureau of Immigration's portal. It is now called Form III, and it covers Overseas Citizen of India cardholders too.

Do homestays need the same licences as hotels?

Often fewer, set by the state's homestay rules: Kerala asks for no local body NOC for classification, and for food safety registration rather than a licence, and Goa lets a homestay serving home-cooked food ask for an exemption from the food licence. Form III for foreign guests applies to homestays as well.

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