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Restraunt under GST

29 August 2020

Dear sir main ek restraunt khola hai jisme ac bhi aur hukka bhi hai maine composition scheme li hai kya main composition le sakta hu ya nahi
aur kya main apne bill pe costumer se 5% gst le sakta hu ya nahi

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6 Replies

Jamil Ahmed (615 Points)
Replied 29 August 2020

If you opt for composition scheme, you cannot GST to your customers.

1 Like

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Taha (T) (405 Points)
Replied 29 August 2020

Dont ask same questions pls u have asked similar question before

1 Like

Shivam RC (Student) (23683 Points)
Replied 29 August 2020

Restaurant Service Provider are eligible to opt for Composition Scheme under Section 10 of the CGST Act 2017. They have to pay GST @ 5% ( CGST @ 2.5% + SGST @ 2.5% ) on their quarterly turnover OUT OF THEIR OWN POCKET.

Composition Scheme dealers cannot collect GST from their customers. They need to issue Bill of Supply instead of Tax Invoice and not eligible to claim ITC ( Section 10(3) & (4) of the CGST Act 2017 ).

2 Like

LAW STUDIO ASSOCIATES (252 Points)
Replied 30 August 2020

Agar restraunt mein AC laga hai aur hukka bhi hai to bhi Composition scheme le sakte hai

Sagar Patel (Tax and Business Consultant) (11611 Points)
Replied 30 August 2020

Yes, For A/C , non -A/C , hukka, bar all types of restaurants, you can take Composition scheme @ 5% Subject to conditions that your Turnover is less than 1.5 Crores (75 lakh in special category states).