In this article, Twinkle Jaiswal discusses License, registration and other legal requirements for starting a homestay.

Introduction

In India Guests are considered as ‘God’. Indians go out of their way to please them. There is a saying in India,’Atithi Devo Bhava’. Indian hospitality is great. Sadly, most visitors who come to India and stays in hotels never get an opportunity to experience true Indian Hospitality, as hotels are unable to provide them such hospitality. The result is that there is growing popularity of homestays in India.

With the aim of providing facilities of standardised world class services and a comfortable stay to the tourist, and to supplement the availability of accommodation in Metros and tourist destination, Ministry of Tourism classified fully operational terms of Bed and Breakfast/ Homestay facilities as “Incredible India Bed and Breakfast/Homestay Establishments”. The idea behind this concept is to provide a clean and affordable place for foreigners and domestic tourists including an opportunity for foreign tourist to stay with an Indian family to experience Indian customs and traditions and to relish authentic Indian cuisine.

Basis of classification under the Incredible India Scheme of BnB

1. The Incredible India Bed and Breakfast/Homestay will be categorised as follows;

• Gold
• Silver

Homestays are divided into various categories, which differ from state to state. For instance, while the government of Kerala classifies homestays as Silver, Gold and Diamond, the government of Rajasthan only categorises them as Silver and Gold. The higher the category, the higher are the yearly fees varying from state to state, a homestay has to pay to the government.

2. The Regional Classification Committee will inspect and access the Bed and Breakfast Establishment based on facilities and services provided by them.The details of the standards, facilities, services and the documents required for approval of such establishments will be as per these guidelines.
3. The Incredible India Bed & Breakfast/ Homestay Establishments, once approved by Ministry of Tourism, will be duly publicised. A directory of all such approved establishments will also be prepared, so as to enable domestic as well as foreign tourists to live in a homely environment and to take advantage of the scheme. In addition, efforts will be made to organise short-term training in hospitality trade to those who would opt for such training.
4. For obtaining license, the owner/promoter of the establishment along with his/her family must be physically residing in the same establishment and letting out minimum one room and maximum 6 rooms.
5. The Incredible India Bed and Breakfast/Homestay Establishment is expected to maintain required standard.

Registration and licensing of Homestay.

The application must be sent along with requisite fee to;

• Regional Director (North), India Tourism, 88 Janpath, New Delhi – 110001.Tel: 011-23320005/8 (for States of Jammu & Kashmir, Himachal Pradesh, Punjab, Haryana, Uttranchal, NCT of Delhi, UT of Chandigarh and Uttar Pradesh except Agra and Varanasi).
• Regional Director (West), India Tourism, 123 M. Karve Road, Mumbai -400020.Tel: 022-22033144 (for States of Gujarat, Chattisgarh, UT of Daman & Diu, Dadra Nagar Haveli and Maharashtra except Aurangabad).
• Regional Director (South), India Tourism, 154 Anna Sallai, Chennai – 600002. Tel: 044- 28460193 (for States of Tamil Nadu and UT of Lakshwadweep).
• Regional Director (East), India Tourism, “Embassy”, 4 Shakespeare Sarani, Kolkata -700071. Tel: 033 -22825813 (for States of West Bengal and Jharkhand).
• Regional Director (North- East), India Tourism, Amravati Path, Christian Basti, G.S. Road, Guwahati -781007. Tel: 0361- 2341603 (for States of Assam, Tripura, Mizoram, Nagaland, and Sikkim). 6. Director, India Tourism, KFC Building, 48 Church Street, Bangalore – 560001, Karnataka. Tel: 080-25585417 (for the State of Karnataka).
• Director, India Tourism, State Hotel, Khasa Kothi, Jaipur- 302001. Tel: 0141- 2372200 (for the State of Rajasthan)
• Director, India Tourism, Sudama Palace, Kankar Bagh Road, Patna- 800020, Bihar. Tel: 0612-2345776 (for the State of Bihar).
• Manager, Indiatourism, 191, The Mall, Agra- 282001, Uttar Pradesh. Tel: 0562-2226378 (for the city of Agra).
• Manager, India Tourism, 15-B, The Mall, Varanasi–221001, Uttar Pradesh. Tel: 0542-2501784 (for the city of Varanasi). -6-
• Manager, India Tourism, B/21B.J.B. Nagar, Bhubaneshwar -751014, Orissa. Tel: 0674-2432203 (for the State of Orissa).
• Manager, India Tourism, Near Western Group of Temples, Khajuraho -471606, Madhya Pradesh. Tel: 07686-242347 (for the State of Madhya Pradesh)
• Manager, India Tourism, VIP Road, 189, IInd Floor, Port Blair- 744103, Andaman & Nicobar Islands. Tel: 03192-236348 (for the UT of Andaman & Nicobar Islands).
• Manager, India Tourism, 3-60-140, IInd floor, Netaji Bhawan, Liberty Road, Himayat Nagar, Hyderabad -500029, Andhra Pradesh. Tel: 040-23261360 (for the State of Andhra Pradesh).
• Manager, India Tourism, Willingdon Island, Kochi -682009, Kerala. Tel: 0484-2668352 (for the State of Kerala).
• Manager, India Tourism, Communidade Building, Church Square, Panaji -403001, Goa. Tel: 0832-2223412 (for the State of Goa).
• Manager, India Tourism, ‘Krishna Vilas’, Station Road, Aurangabad – 431005, Maharashtra. Tel: 0240-2364999 (for the city of Aurangabad).
• Manager, India Tourism, U Tirot Singh Syiem Road, Police Bazaar, Shillong -793001, Meghalaya. Tel: 0364-225632 (for the State of Meghalaya).
• Manager, India Tourism, Sector ‘C’, Barapani Police Point, Naharlagun -791110, Arunachal Pradesh. Tel: 0360-2244328 (for the State of Arunachal Pradesh)
• Manager, India Tourism, Old Lambu Lane, Jail Road, Imphal – 795001, Manipur. Tel: 03852-221131 (for the State of Manipur).

The applications were initially handled by the State Government, application now are accepted and handled at the district level itself. This makes easier for the establishment in small towns and rural areas. After submission of application form the representatives of the district government come in for a surprise inspection, following which a homestay is recognised and rated as per facility available. As homestay is not treated as commercial establishment in most states, no commercial luxury or service taxes are levied. The process of acquiring an electricity connection is the same as that of a home, so the taves vary from state to state. Once initiated, the application and registration procedure takes a few months, but the whole process takes a couple of years to be completed.   

Application format for an establishment of homestay.

1) Name of the(IIB&B) Incredible India Bed&Breakfast/ Homestay Establishment.

2) Category applied for

3) Name and address of the promoters/owners with a note on their background

4) Complete postal address of the IIB&B/ Homestay Establishment

a) Tel. no

b) Fax

c) E-mail

d) Mobile No. of the promoter

5) Distance of the IIB&B/Homestay Establishment in kms. from:

a) Airport

b) Railway Station

c) City Centre

d) Nearest main shopping centre

e) Nearest bus stand /scheduled city bus stop

6) Details of the IIB&B/Homestay Establishment:

(a)Area (in sq. metres) with title – owned/ leased (copies of sale/ lease deed to be enclosed)

(b) Revenue papers regarding ownership. Affidavit in case of co-sharer of house/land.

(c) Whether clearance obtained from the Police Authorities regarding the antecedents of the owner /owners and the proposed activity (copy to be enclosed)

(d)Number of rooms and area for each type of room in sq.ft. (single/double/suites)

e)Number of attached baths

(f)Details of public areas for the following facilities in sq. ft.

(i)Lobby/lounge

(ii)Dining space

(iii)Parking facilities

(g)Additional facilities available if any (not mandatory)

(i) Eco –friendly facilities

(ii)Facilities for differently abled persons

(h)Details of Fire Fighting equipment/ hydrants etc. if any

7. Photographs of the building including interiors showing types of facilities available, bathroom, living room, bedroom, parking etc.

8. Details of payment of application fee
9. Check list details as per Annexure II

(enclose a copy of the checklist duly certified that the facilities are available in the establishment)

10. Consent of acceptance of the regulatory conditions (please enclose a copy of the prescribed undertaking as per Annexure III duly signed by the owner of the establishment)

Other Legal Requirements.

If an establishment applies for classification/re-classification, it will have to be ready at all times for inspection by the Regional Classification Committee. No requests for deferment of inspection will be entertained.Classification will be valid for two years from the date of issue of orders or in case of reclassification from the date of expiry of the last classification provided that the application has been received within the stipulated time i.e. 3 months before the expiry of the last classification.

The application fees payable for classification/reclassification of IIB&B/Homestay will be as follows for the Govt. of India. The demand draft will have to be payable to

” Pay & Accounts Officer, Ministry of Tourism, New Delhi “.

Star Category For Classification/Reclassification

• Silver Rs. 3,000
• Gold Rs. 5,000

The rate of taxes for property, electricity and water to be paid for classified IIB&B/Homestay Establishments will be those prescribed by the appropriate authorities.

Challenges.

The entire process takes a couple of years but security is one of the most challenging issue. It is necessary to install CCTV cameras at the reception and records of guests must be maintained , photocopies of Identity Proofs must be taken.After all, homestay is a private property. All paperwork and procedure must be performed carefully in order to avoid any problem in the future.

Conclusion

As homestay is different from just renting a room because it entails owners to share their beliefs, experience and lives with the guests. The owner must provide the guest a memorable visit, so that they can share it with others. It is necessary to invest smartly in the homestay in order to provide all the facilities. The representative may come for surprise inspection, so it is necessary to maintain the standard. All the securities measures must be taken in order to avoid problems.  

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