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Amusement Parks Industry Seeks 5% GST Parity with Other Tourism Sectors in UP

by India Saga
December 14, 2025
in Business
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Amusement parks GST, IAAPI demand 5% GST, amusement industry India, UP tourism GST, theme park taxation, tourism sector GST, IAAPI Uttar Pradesh
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A delegation from the Indian Association of Amusement Parks and Industries (IAAPI), led by Uttar Pradesh State Chairman, Mr. Izzuddin Hashmi, along with IAAPI Secretary General, Mr. Anil Padwal, met Shri Rajesh Kumar, IAS, Director General, Uttar Pradesh Tourism and presented IAAPI’s representation for 5% GST for amusement & theme park sector.

A 5% GST rate to amusement park industry which caters to children, youth alongwith their families will encourage the middle and lower-middle-class families to engage in more recreational activities, enhancing family well-being and social bonding. In line with the Hon’ble Prime Minister’s concern regarding rising obesity among children and youth, the amusement industry provides a healthy and active outlet for recreation — fostering fun, fitness, and togetherness.

The amusement industry forms an integral part of India’s tourism and social infrastructure. While states tourism policies are actively promoting investments in theme and amusement parks, there remains a disparity in GST treatment compared to other tourism-linked sectors — for instance:

• Hotel rooms up to ₹7,500 are taxed at 5%
• Economy-class air travel is taxed at 5%

In contrast, amusement and theme parks continue to face an 18% GST rate, despite serving as accessible and family-oriented recreation for citizens across all income groups.

5% GST slab for the amusement industry will boost tourism growth, employment generation and economic development.

IAAPI extends its gratitude to Uttar Pradesh Tourism for its proactive encouragement and looks forward to a strengthened partnership for the advancement of the amusement and attractions sector in India.

Tags: Amusement industry IndiaAmusement parks GSTIAAPI demand 5% GSTIAAPI Uttar Pradeshtheme park taxationtourism sector GSTUP tourism GST
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