India’s wealthiest temple trust, Tirumala Tirupati Devasthanam (TTD), is expected to pay less than 1.5% Goods and Services Tax (GST) on its annual income of ₹4,774 crore in FY25, according to a Moneycontrol analysis.
Political Controversy Over GST on Temples
A debate over GST on temples has sparked political disputes between the ruling BJP and opposition Congress. Congress leader Jairam Ramesh recently highlighted reports claiming temples were being taxed. However, BJP leader Amit Malviya clarified that GST applies only to commercial activities linked to temples, not religious or spiritual services.
Previous GST Notices for Temples
In November 2024, the Sree Padmanabhaswamy Temple in Thiruvananthapuram was issued a notice for pending tax payments of ₹1.57 crore over seven years. The temple, which earned an estimated ₹700 crore in 2014 alone, is one of India’s wealthiest religious institutions. Similarly, the Vaishno Devi Temple in Jammu’s Katra generated ₹683 crore in FY24, with ₹255 crore from tax-exempt offerings and ₹133.3 crore from interest.
Income Growth of Major Temples
The earnings of India’s largest temple trusts have seen significant growth over the years. TTD’s budget surged from ₹2,678 crore in FY17 to ₹5,145 crore in FY25. The Vaishno Devi Trust’s income has nearly doubled from ₹380 crore in FY17 to ₹683 crore in FY24.
GST Payments by Temples
The GST paid by temples has increased along with their revenues. Tirupati’s GST payments rose from ₹14.7 crore in FY17 to ₹32.95 crore in FY24. The Sree Padmanabhaswamy Temple was recently assessed a GST liability of ₹1.57 crore for the period since 2017.
Which Temple Activities Are Taxed?
While prasad and religious ceremonies are exempt from GST, commercial activities attract taxation.
- Donations: In FY24, Vaishno Devi earned 37% of its income from tax-free donations, while TTD expects 34% of its ₹4,800 crore earnings in FY25 to come from offerings.
- Accommodation Rentals: GST applies if room charges exceed ₹1,000 per night or community hall fees exceed ₹10,000.
- Shop Rentals: Businesses renting temple premises for less than ₹10,000 per month are exempt from GST.
- Commercial Services: Souvenir shops, helicopter services, and other ventures run by trusts are taxable. Vaishno Devi Trust, for instance, earned ₹129.6 crore (19% of total revenue) from sales and ₹84 crore (12%) from rentals in FY24.
While temples enjoy exemptions on donations and religious services, commercial activities remain subject to GST. The rising earnings of major temple trusts have also led to increased tax obligations, keeping religious institutions under financial scrutiny.
