An extension of Hadron Resonance Gas (HRG) model is constructed to include interactions using relativistic virial expansion of partition function. The non-interacting part of the expansion contains all the stable baryons and mesons and the interacting part contains all the higher mass resonances which decay into two stable hadrons. The virial coefficients are related to the phase shifts which are calculated using K-matrix formalism in the present work. We have calculated various thermodynamics quantities like pressure, energy density, and entropy density of the system. A comparison of thermodynamic quantities with non interacting HRG model, calculated using the same number of hadrons, shows that the results of above formalism are larger. A good agreement between equation of state calculated in K-matrix formalism and lattice QCD simulations is observed. Specifically the lattice QCD calculated interaction measure is well described in our formalism. We have also calculated second order fluctuations and correlations of conserved charges in K-matrix formalism. We observe a good agreement of second order fluctuations and baryon-strangeness correlation with lattice data below the cross-over temperature.