RONIT (CA CS BCOM) (194 Points)
03 December 2018
CA Ankur Mehan
(119 Points)
Replied 03 December 2018
NO.
As u r supplying food business GST rate is 5% without ITC( considering restaurant service). As u are not allowed to take any credit hance not allowed
pritesh
(CA Final student)
(7101 Points)
Replied 03 December 2018
RONIT
(CA CS BCOM)
(194 Points)
Replied 03 December 2018
CA Ankur Mehan
(119 Points)
Replied 03 December 2018
Invalid question... there is only one rate for restaurant service i.e 5%
RONIT
(CA CS BCOM)
(194 Points)
Replied 03 December 2018
CA Ankur Mehan
(119 Points)
Replied 03 December 2018
How can u take credit. as u r given special rate i.e 5% with the condition (NO ITC ) . that means u only charge 5 % from ur customers and without any adjustment pay that to the government.
Ruchira
(Article)
(208 Points)
Replied 03 December 2018
The GST council in its 23rd meeting has slashed down Tax rate from 18% to 5% for restaurants and they won't be eligible for the benefit of Input Tax Credit. Thus, you won't be able to claim ITC of GST that you pay to Swiggy, Food Panda and Zomato.
RONIT
(CA CS BCOM)
(194 Points)
Replied 03 December 2018
CA Ankur Mehan
(119 Points)
Replied 03 December 2018
That will be consider Outdoor Catering chargeble @ 18%.....
Now few ques arise.
1. r u charging GST?
2. whats ur turnover?
But yes u can claim ITC. But ITC is claim only against Output liability. If u dont have any liability then go for refund
RONIT
(CA CS BCOM)
(194 Points)
Replied 03 December 2018
RAHUL
(Student CA Final )
(377 Points)
Replied 04 December 2018
If the tax on the final bill is at the rate of 5% then you can't claim input, because that will be composition scheme. Otherwise if the rate on the final bill is 18% then you can claim.
CA Ankur Mehan
(119 Points)
Replied 04 December 2018
Ronit sir thats what m saying, u r not collecting GST.
1. So u have to pay GST out of ur pocket.
2. If u pay 5% then u can not claim ITC, if u charge 18% u can. but its ur decision to choose rate.
my number is 9888694510(wats app) for any further assistance..
Sunil Sharma
(CMA & CS)
(584 Points)
Replied 04 January 2019
Ronit ,
Kindly check out with the Different rates as mentioned below
| Type of Restaurants | GST Rate |
| Stand Alone Restaurants | 5% no ITC |
| Restaurants forming part of Hotels where the declared tariff of the accommodation does not exceed Rs 7500 | 5% no ITC |
| Restaurants forming part of Hotels where the declared tariff of the accommodation exceeds Rs 7500 | 18% with ITC |
| Regular Catering at say Company premises | 5% no ITC |
| Outdoor catering | 18% with ITC |
Being your case as a Cloud Kitchen falls under the Outdoor catering hence GST would be @ 18% and Yes , you can claim ITC for the Commission invoices raised by Zomato and Swiggy.
Sunil Sharma
CAclubindia
