Overview

• States are urged to adopt a centralized digital portal for homestay registration, renewals and compliance with a proposed 30-day application disposal timeline.
• The framework recommends classifying homestays as residential for utilities and property taxes to improve financial viability.
• Destination-level, tiered incentives and targeted marketing are proposed to channel tourism to underserved areas rather than subsidizing individual amenities.
• The report flags uneven state rules and multi-step approvals lasting two to six months as key barriers and offers a harmonized model to simplify processes.
• The blueprint is non-binding for states and is framed against a Ministry of Tourism estimate of a 200,000-room shortfall and a Rs 4,722 crore homestay market projected to grow 11% annually.