GST RATE AND SAC CODE FOR FOOD/MEAL SUPPLY

[Bhavesh Sharma]

Hello Everyone,

I Want Clarification for following query:

PARTY A (BAKERS & CATERERS BUSINESS)

PARTY B (COMPANY)

Party A Only Supplies Meals (3 Times Lunch a day daily and it pays the bill in the end of month instead at same time) like food delivering done by hotels to Party B. So in this case what will be the GST Rate and SAC Code. and whether it will fall under contract or not.

I am taking in SAC 996333

Please clarify ...

AI Summary

GST on meal delivery: classification under catering contract food services affects applicable tax treatment and rate.
Supply of daily meals to a corporate customer is treated as catering/contract food service and should be classified under SAC 996337 where provided on an ongoing basis at a customer-specified location; the service attracts the higher GST rate indicated for food delivered outside hotel premises and readers are directed to Notification No. 11/2017-Central Tax (Rate) and explanatory notes for the specific rate conditions and the role of contractual arrangements in classification.