TaxTMI Login
AI OCR ✕Convert scanned orders, printed notices, PDFs and images into clean, searchable, editable text within seconds. Starting at 2 Credits/page
Try Now →Just a moment...
AI OCR ✕Convert scanned orders, printed notices, PDFs and images into clean, searchable, editable text within seconds. Starting at 2 Credits/page
Try Now →
Press 'Enter' to add multiple search terms. Rules for Better Search
Use comma for multiple locations.
---------------- For section wise search only -----------------
Accuracy Level ~ 90%
of 
Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
All Case Laws
of Press 'Enter' after typing page number.
of Press 'Enter' after typing page number.
All Case Laws
Note
Bookmark
Share
Don't have an account? Register Here
of Press 'Enter' after typing page number.
Issues: Whether receipts from restaurant sales, receptions, meetings and special eve charges in a hotel, where food and attendant services are supplied for a consolidated amount, are wholly includible in taxable turnover under the Bengal Finance (Sales Tax) Act, 1941 as extended to Delhi.
Analysis: The questions were answered by applying the Supreme Court's ruling that the supply of meals in a restaurant, where the customer is not purchasing food for take-away but is being served food with attendant amenities and services, is not a sale simpliciter but a service transaction. The same character attached to consolidated charges recovered for receptions, meetings and similar functions, because the entire charge represented the hotel's service in supplying food and amenities, and no part of the amount could be treated as taxable sale price merely on an artificial break-up. Only where food is actually sold for take-away does the transaction assume the character of a sale liable to sales tax.
Conclusion: The receipts from restaurant service, receptions, meetings and special eve charges were not wholly taxable and were to be excluded from taxable turnover, except to the extent of any actual take-away sale of food.
TaxTMI 
TaxTMI 
