Starting a Homestay in Delhi

01 / Executive finding

The practical starting point

• Delhi is presently in a regulatory transition, and a new applicant should not assume that the long-standing B&B registration process is presently accepting or processing applications. The Delhi Bed and Breakfast Establishments (Repeal) Act, 2026 (Delhi Act 08 of 2026) has been enacted and gazetted, but section 1(2) provides that it comes into force only on a separately notified date. No such commencement notification was located as at 05 September 2026. The official Bill materials say commencement was intended to be aligned with the new policy. [S7, Bill cl.1(2), pp.5–7; S8, s.1(2)]
• Until that separate commencement occurs, the located statutory framework remains the NCT of Delhi (Incredible India) Bed and Breakfast Establishments (Registration and Regulation) Act, 2007, as amended, subject to the transition position described below. The 2026 Repeal Act cannot safely be described as having already displaced the legacy Act merely because the Repeal Act itself has been published. [S8, s.1(2)]
• The most important operational finding is an official-source conflict. The Statement of Objects and Reasons to the Repeal Bill states that, during the transition, “fresh registrations and processing of pending applications” under the existing Act are to remain in abeyance. The live Delhi e-Governance Society Tourism portal nevertheless continues to present the legacy application, payment, document-upload, inspection and certificate-download process. A prospective applicant should obtain a written Tourism Department answer before submitting or paying. [S7, Statement of Objects and Reasons, p.6; S10, portal lines 16–52]
• Under the legacy statutory definition, the establishment must be a residential premises, and the owner must physically reside there with family. The 2009 amendment tightened the residence requirement and added documentary residence proof. This makes Delhi's legacy category materially different from an absentee-owner short-term rental. [S1, ss.2 and 3; S3, Amendment Act ss.2–4]
• The post-2009 statutory room limit is not more than two-thirds of the total bedrooms, with at least one double bedroom and no more than six double bedrooms offered to guests. A “room” accommodates no more than two beds, apart from extra accommodation for accompanying children. The older 2008 classification checklist still says maximum five rooms/10 beds, creating an unresolved stale-rule conflict. [S3, Amendment Act s.4; S2, Form C item 3]
• The legacy category applies throughout the NCT of Delhi, but tourism registration does not settle address-specific building legality. The application form itself asks whether building plans and use are approved by the relevant local authority. Land use, sanctioned construction, occupancy/completion position, fire applicability and protected/heritage restrictions therefore require property-specific review. [S1, s.1; S2, Form A]
• An authorised manager can fall within the amended statutory concept of “owner” only where the actual owner authorises that person through a duly registered legal document for management for at least four years. The live portal additionally requires a registered Special Power of Attorney where the applicant holds through rent/lease or is not the individual legal owner. A simple management contract, caretaker appointment or revenue share is not shown to be sufficient. [S3, Amendment Act s.2; S10, portal lines 34, 47–51]
• No current official source located expressly establishes an LLP, company, society or trust as an eligible legacy B&B registration holder. The owner/family/residence structure of the B&B legislation is natural-person oriented. By contrast, Delhi's separate Guest House approval materials expressly contemplate companies, partnerships and proprietorships. Corporate B&B registration therefore requires written clarification rather than inference. [S1, ss.2–3; S11, application items 2–4]
• Legacy classification is Silver or Gold. Application fees are ₹3,000 for Silver and ₹5,000 for Gold and are stated to be non-refundable in the 2008 Rules; the live portal repeats those figures. No separate B&B inspection fee was located. [S2, r.4; S10, lines 20–26]
• A legacy registration certificate is valid for three years unless revoked. A complete current renewal form, renewal fee and renewal workflow for B&B establishments was Not stated in the current official material reviewed; the public DEGS renewal section presently lists Tour Operator renewal, not B&B renewal. [S1, s.3(9); S10, lines 12–14]
• A 2021 Amendment Act would reduce the statutory processing period from three months to one month, but that Amendment Act itself requires a separate commencement notification. No commencement notification for the 2021 amendment was located. Separately, the live portal gives a 30-day Ease-of-Doing-Business SLA but excludes time spent on field verification. A 30-day approval guarantee should therefore not be published. [S4, ss.1–2; S10, lines 27–28 and 52]
• Delhi published an official Draft Delhi Bed & Breakfast Policy 2026 proposing a substantially different future regime—up to eight rooms/16 beds, self-certification and a seven-working-day deemed-approval mechanism—but the draft expressly says it would operate from notification. It must not be presented as current law. [S6, policy pp.2–8]
• The Delhi Jan Vishwas (Amendment of Provisions) Act, 2026 has already altered the legacy Act's penalty regime. Relevant contraventions now carry civil penalties including maxima of ₹15,000, ₹30,000 and ₹50,000 depending on the provision; old portal/self-declaration language threatening imprisonment under former section 20 is therefore stale. [S5, Schedule item 4, pp.24–25]
• There is sufficient evidence to describe the legacy scheme and the transition, but not sufficient aligned official evidence to tell a new owner that applications are currently being processed or to publish the draft 2026 regime as operative. Publication of a definitive “how to register now” guide should wait for a commencement/final-policy notification or a written Tourism Department clarification. [S7, pp.6–7; S9; S10]

02 / Document chronology

Use the current rules and implementation

Supersession position

The 2026 Repeal Act names the 2007 Act and 2009/2021 Amendments for repeal but postpones commencement. Its own savings provisions protect earlier registrations, certificates, approvals, obligations, liabilities and proceedings once repeal takes effect. [S8, ss.1–2] Accordingly, the correct public treatment is not “Delhi abolished the old B&B Act on 25 August.” It is: repeal has been enacted but is awaiting its notified commencement date on the evidence located.

03 / Category definitions

Choose the right accommodation category

A six-room property is not automatically a Guest House merely because the Tourism guest-house guideline starts at six rooms. Category turns on the actual legal/operating arrangement, local-use position and relevant licensing regime.

04 / Eligibility decision tree

Check whether the applicant and property qualify

Start with the exact property address and local-body category.

1. Is there a specific Delhi property?

• No; only capital is available → the person cannot yet establish property-level B&B eligibility. Property search can proceed only with regulatory screening criteria → Not established in the published material for registration before selection.
• Yes → continue.

1. Is the property lawfully usable as a residential premises, with building-plan/use documentation capable of supporting the application?

• Clearly yes → continue.
• Unauthorised construction, uncertain land use, completion/occupancy issue, protected/heritage issue or unclear local body → Confirm this in writing with the authority.
• Clearly a commercial hotel/guest-house premises → Consider another accommodation category.

1. Who owns or lawfully controls it?

• Individual legal owner → continue.
• Lessee/non-owner with registered qualifying SPA/management authority for at least four years → potentially continue under the located legacy implementation route.
• Lessee with only an ordinary lease, caretaker letter or unregistered management contract → Confirm this in writing with the authority.
• Company/LLP/trust/society proposed as registration holder → Confirm this in writing with the authority.

1. Who will actually live at the property?

• Qualifying owner/authorised person physically lives there with family → continue.
• Owner lives elsewhere and only employees/caretaker stay → This does not appear to fit the published route, unless Tourism confirms another qualifying statutory structure.
• Unclear relationship between actual owner and authorised manager's residence → Confirm this in writing with the authority.

1. Who will operate it?

• Resident registration holder/family with support staff → continue.
• Professional management company works under the registration holder while statutory owner/host duties remain satisfied → operational service contract may be possible, but registration consequences require review → Confirm this in writing with the authority.
• Management company intended to replace resident host entirely → This does not appear to fit the published route on current evidence.

1. Room plan under legacy regime

• At least one guest double bedroom; no more than six; guest bedrooms no more than two-thirds of total bedrooms → continue, subject to conflict with stale five-room Form C checklist.
• More than six proposed → Consider another accommodation category under the presently located legacy law.
• Six rooms but inspector/portal applies old five-room checklist → Confirm this in writing with the authority.

1. Property stage

• Existing lawful home ready for inspection → potentially eligible.
• Proposed construction/under construction → building/planning route must be completed first → Not established in the published material for advance B&B approval.
• Already running → audit certificate, holder, rooms, changes, records and adjacent compliance before relying on existing registration.

1. Current transition gate

• Even if all legacy conditions fit, S7 says fresh registrations and processing of pending applications are in abeyance while S10 remains live → Confirm this in writing with the authority before a new submission. Research classification for a compliant resident-host property: This appears to fit the published route, subject to the remaining checks, but that does not establish that a fresh registration is currently being processed.

05 / Applicant and operating structures

Set the ownership and operating structure

The separate Guest House materials demonstrate why a corporate structure must not be imported into B&B rules by analogy: the guest-house application expressly names public/private companies and partnerships, whereas the B&B Act does not.

06 / Property and classification standards

Prepare the property for inspection

Draft-policy warning

The draft 2026 policy contains different proposed measurements, capacity rules and safety requirements. Those values are deliberately not merged into this table because S6 is not operative.

07 / Documents and declarations

Assemble the application file

The portal requires uploaded documents to be self-attested in blue ink and originals to be produced at physical inspection. [S10, lines 32–51]

Download the Delhi property and application checklist ↓

08 / Application and inspection process

Follow the application and inspection process

Because of the transition conflict, the first step is not “submit the form”; it is confirm whether the Department is presently processing fresh applications.

The classification committee under the 2008 Rules includes Tourism, DTTDC, India Tourism, the district police representative and an IATO representative. [S2, r.6] The prescribed authority was notified in 2010 as the Joint Secretary/Additional Secretary/Special Secretary, Tourism Department. [S3, notification F.6(11)/TSM/2006/3301]

09 / Fees, timelines, validity and renewal

Confirm fees, timing and certificate validity

No timeline in this guide should be represented as a guaranteed approval period.

10 / Operating duties after registration

Run the registered homestay correctly

Certificate, tariffs and guest-facing information

The legacy Act requires display of the registration certificate and specified information including food, charges, employee names and check-out information. The owner must provide the facilities promised at registration and notify changes to registered facilities within one week. [S1, s.6] A prescribed invoice format for a B&B was Not stated in the material reviewed. GST invoicing duties, where applicable, arise separately from tax law.

Guest records

The establishment must maintain the prescribed guest register. Form F records, among other things, guest name, age, permanent address, telephone number, nationality, passport details, check-in/check-out, prior location, purpose of visit and signature. The 2008 Rules require preservation of the guest register for five years. [S2, rr.11–12, Form F]

Domestic/ordinary guest reporting

The legacy Act requires guest information to be supplied to the local authority and police fortnightly on the 15th and last day of the month. The exact contemporary electronic Delhi channel for this legacy fortnightly requirement was Not stated in the current official material reviewed. [S1, s.6(ii)]

Foreign guests

Current central law is clearer. Rule 17 of the Immigration and Foreigners Rules, 2025 expressly includes a “home stay” within accommodation. The keeper must:

• record arrival/departure particulars;
• maintain the records electronically for at least one year;
• send Form III electronically no later than 24 hours after arrival; and
• transmit departure details no later than 24 hours after departure. [S14, r.17(1), (5)–(7)] The Bureau of Immigration Form III portal publicly states that accommodators must report foreigners including OCI cardholders and offers an “Individual House” signup route. The state guest register has the longer five-year preservation requirement; the central electronic foreigner record minimum is one year. Both should therefore be treated independently.

Staff

Employee police verification is a statutory legacy B&B obligation. [S1, s.6] The 2008 Rules also require police verification in the application process. [S2, r.5/Form B] Mandatory local-employment quotas or Delhi-resident staffing percentages were Not stated in the material reviewed.

Food

The accommodation scheme's breakfast/kitchen requirements do not displace food-safety law. FSSAI states that every Food Business Operator must be licensed or registered under section 31 of the FSS Act; the registration/licensing category depends on the food business and applicable criteria. For a particular Delhi B&B, the correct FoSCoS “kind of business” should be determined from the actual food operation rather than assumed from the tourism label.

Waste and sanitation

Municipal-law-compliant garbage disposal is mandatory in the legacy classification checklist. Cleanliness, hygiene and fire safety are statutory operating obligations. [S1; S2 Form C]

Commercial activities from the establishment

The legacy Act prohibits a front office and prohibits the owner from conducting tours, travel, sightseeing, transportation, handicrafts or similar business from the establishment. [S1, s.7]

Tourism statistics

A distinct monthly Tourism Department statistical-return requirement, separate from the guest reporting discussed above, was Not stated in the material reviewed.

Incident reporting

A separate B&B-specific incident-reporting form/time limit was Not stated in the material reviewed.

11 / Adjacent approvals and dependencies

Close the approvals outside Tourism

Delhi Fire Service currently states that Rule 27 covers residential buildings other than hotels/guest houses above 15 m or G+4, while hotels and guest houses have the lower >12 m or G+3 trigger. It also confirms two-stage DFS involvement—pre-construction and before occupancy—for Rule 27 buildings. However, no current DFS source located expressly classifies a registered Delhi B&B into one of those Rule 27 occupancy descriptions, so the threshold should not be selected by assumption. [S13] DFS also states that it charges no fee for building-plan approval, Fire Safety Certificate issuance or FSC renewal.

12 / Incentives, subsidy and funding

Evaluate incentives without assuming sanction

Delhi B&B-specific capital subsidy

Not stated in the current official material reviewed. No current GNCTD Tourism instrument was located establishing an open, B&B-specific:

• capital subsidy;
• reimbursement;
• interest subsidy;
• room-construction grant;
• furniture/equipment grant;
• registration-fee reimbursement; or
• automatic concessional loan. Accordingly, no subsidy percentage or rupee ceiling should appear in a Delhi public guide at present.

Delhi economic-policy material

The GNCTD Industries Department's hospitality policy-development material has discussed measures such as credit enhancement for tourism/MICE infrastructure and skills initiatives. It does not, on the evidence located, constitute an open sanction scheme for an individual B&B applicant. [S18]

Udyam

Udyam registration is free, paperless and based on self-declaration, and the official portal says it does not require renewal. It is not shown in the located Delhi B&B legislation as a condition of Tourism registration. [S17] Generic central MSME or bank finance should be evaluated separately against the borrower's activity, entity, credit and scheme-specific conditions; it must not be represented as a Delhi homestay subsidy.

13 / Business implications

Translate the rules into a workable project

Before selecting or acquiring a property

The property assessment should establish at minimum:

1. exact address and competent local body;
2. title and co-owner position;
3. sanctioned land/building use;
4. sanctioned plans and actual construction comparison;
5. occupancy/completion position where relevant;
6. total bedrooms and proposed guest bedrooms;
7. proposed registration holder;
8. where that person will reside and with whom;
9. whether any lease/SPA/management authority will be used;
10. fire/building height/staircase/access conditions;
11. heritage, Ridge, forest, Yamuna/floodplain or other location-specific controls;
12. food plan;
13. foreign-guest operating plan; and
14. whether the Tourism Department is currently processing fresh B&B registrations. A property should not be valued as a legally operable B&B merely because it is attractive, residential-looking or currently listed online.

Before construction or renovation

The room plan should not be designed around the draft eight-room standard unless and until that policy is notified. Under the presently located operative legacy framework, the safer regulatory baseline remains the six-double-bedroom/two-thirds rule, while acknowledging the five-room checklist conflict. Any structural or use alteration should first be tested under the applicable planning/building/fire framework. Tourism registration is downstream of lawful property readiness; it is not a substitute for development approval.

Registration holder versus operating entity

The sources do not establish a general rule allowing any professional company to hold or inherit a B&B registration simply because it manages bookings and staff. A service/management company may be contractually involved, but that does not by itself answer:

• who is the statutory “owner”;
• who must reside at the premises;
• who signs the application;
• who holds the certificate;
• who maintains statutory records;
• who answers regulatory notices; or
• who incurs penalties. Those roles must be mapped independently.

What an LLP or management agreement cannot solve by itself

An LLP deed, revenue-share agreement, property-management agreement or brand licence cannot on its own:

• legalise unauthorised construction;
• convert land/building use;
• satisfy owner residence;
• replace a registered SPA where the scheme requires one;
• increase the statutory guest-room ceiling;
• transfer a certificate;
• eliminate fire/food/foreign-guest obligations; or
• make a currently abeyant Tourism application process active.

Commercial terms that should wait for regulatory answers

Before the project team proposes acquisition terms, lease terms, development spend, guaranteed operating commitments or revenue assumptions, it should establish:

• whether the contemplated registration holder qualifies;
• whether the final 2026 policy has commenced;
• whether existing or new certificates are being processed;
• permitted guest-room count;
• ability to delegate operation;
• property-specific development costs required for legal readiness; and
• adjacent approval exposure. No fixed ownership percentage, investment contribution or income commitment follows from the regulatory evidence.

14 / Official-source conflicts

Resolve conflicting official instructions

Conflict 1 — statutory six-room maximum vs five-room classification checklist

Source A: 2009 Amendment Act, statutory amendment to section 3. Proposition: up to six double bedrooms, subject to no more than two-thirds of total bedrooms. Source B: 2008 Rules, Form C item 3. Proposition: “maximum 5 rooms (10 Beds).” Hierarchy/date: the later Act amendment is higher in hierarchy and post-dates the Rule. No located amendment to Form C updates the printed checklist. Practical effect: a six-room applicant appears supported by the amended Act but may encounter a stale five-room implementation document. Status: The official sources are not aligned. Affected properties: properties proposing six guest bedrooms. Written answer required from: prescribed authority / Department of Tourism.

Conflict 2 — transition abeyance vs live registration portal

Source A: Repeal Bill Statement of Objects and Reasons, August 2026. It says fresh registrations and processing of pending applications “shall remain in abeyance” during transition. [S7, p.6] Source B: current DEGS portal. It continues to instruct applicants to submit online, pay fees, upload documents, undergo inspection and download certificates after approval. [S10] Hierarchy: the SOR is official legislative explanatory material, but the operative Repeal Act does not itself contain the abeyance sentence. The live portal is implementation material and may simply not have been updated. Practical effect: submission/payment cannot safely be assumed either validly processable or prohibited solely from the portal interface. Status: The official sources are not aligned operationally. Affected properties: every new applicant and every pending applicant. Written answer required from: Department of Tourism, GNCTD, preferably the prescribed authority/Secretary-level office.

Conflict 3 — processing period

Source A: legacy 2007 Act s.3(10): three months. Source B: 2021 Amendment Act: one month, but s.1 requires a commencement notification. Source C: live DEGS portal: 30-day Ease-of-Doing-Business SLA, with field-verification time excluded. Research result: separate 2021 commencement notification Not stated in the material reviewed. Status: The official sources are not aligned / CURRENTNESS UNCERTAIN. No public guide should promise approval in 30 days.

Conflict 4 — legacy penal wording in forms/portal versus Jan Vishwas 2026

Older B&B materials associate false statements with the former imprisonment/fine wording of section 20. The Jan Vishwas Act now substitutes a civil penalty of up to ₹30,000. [S5, p.24] Status: newer statute controls, but stale forms should be flagged.

Conflict 5 — Tourism office address

The current Tourism Department B&B page gives Room No.1, 49 Shamnath Marg, Old Secretariat, Delhi-110054. The DEGS portal's offline-DD instruction still gives the older 2nd Floor, C-Wing, Near Metcalfe House address. [S9; S10 line25] Status: The official sources are not aligned. An applicant should not courier an original DD without confirming the receiving office.

Conflict 6 — draft 2026 policy's own applicant wording

The draft generally defines the applicant as owner and says the applicant must be the owner through legal documents, while an undertaking later refers to “owner/leaseholder.” [S6, pp.3–5, 14] Because the entire instrument is only draft, no attempt should be made to reconcile this as present law.

15 / Unresolved questions for the authority

Take the remaining questions to the authority

1. Fresh applications: In light of the Statement of Objects and Reasons to Bill 08 of 2026 stating that fresh registrations shall remain in abeyance, is the Department currently accepting and processing any fresh B&B application submitted through degs.org.in/dtd/BnB?
2. Pending applications: Are applications filed before the transition being processed, formally stayed, returned, or held pending?
3. Repeal commencement: Has any notification under section 1(2) of Delhi Act 08 of 2026 appointed the commencement date? If yes, please provide its Gazette number and date.
4. Final policy: Has the Draft Delhi Bed & Breakfast Policy 2026 been approved and notified in final form? If yes, please provide the final notification and annexures.
5. Six-room conflict: Does the Department presently accept six guest double bedrooms under the 2009 statutory amendment notwithstanding Form C of the 2008 Rules still stating five rooms/10 beds?
6. 2021 amendment: Was a commencement notification ever issued for Delhi Act 04 of 2021? If so, what is its Gazette number?
7. SLA: Is the portal's 30-day period an administrative service target only, and exactly which periods—inspection, applicant clarification, police verification—are excluded?
8. Renewal: What is the present renewal procedure, fee and application window for a three-year legacy B&B certificate?
9. Transition of certificates: How will certificates still valid when Delhi Act 08 of 2026 commences be migrated or recognised under the final policy?
10. Authorised manager residence: Where an actual owner appoints a qualifying authorised manager under the amended statutory definition of owner, must that authorised manager physically reside in the property with his/her family?
11. Ordinary lessee: Is a registered four-year SPA always required in addition to a registered lease, or can a qualifying lease itself constitute the legal document contemplated by the amended definition?
12. Multiple owners: Must every co-owner execute the SPA/consent where only one co-owner will be the resident applicant?
13. Company: Can a company be the B&B registration holder under the presently applicable regime?
14. LLP/partnership: Can an LLP or partnership hold the certificate, or must a natural-person partner/designated partner be applicant?
15. Management companies: May an external professional management company conduct reservations, staffing, guest communications and revenue collection while a resident individual remains certificate holder?
16. Caretaker: Is caretaker residence alone sufficient under any current operative provision, or is the caretaker route confined to the unnotified draft 2026 policy?
17. Fire occupancy: For Delhi Fire Service Rule 27, is a registered B&B treated as “residential” or as hotel/guest-house accommodation?
18. Building-use evidence: Exactly which building-use/sanction/occupancy documents are presently required for a legacy B&B inspection in MCD, NDMC and Delhi Cantonment areas respectively?
19. Police reporting: What is the current official electronic/manual route for the fortnightly guest information required by legacy section 6(ii)?
20. Foreign guests: Does the Tourism Department require any state-level foreigner filing in addition to central Form III under the Immigration and Foreigners Rules 2025?
21. Change of owner: What is the exact process where a registered property is sold during certificate validity?
22. Inheritance: What documents are required under section 28 following death of the registration holder?
23. Change of rooms: Can guest-room count be increased within the statutory ceiling during certificate validity, and is fresh inspection required?
24. Current office: Which Tourism Department address should receive any permissible physical documents/DD—the current Shamnath Marg office or the Metcalfe House address displayed on DEGS?
25. Fees under final policy: Have the draft policy's future application/classification/renewal fees been notified separately?