TaxTMI 
TaxTMI 
XYZ is having a sweet shop and restaurant in the same premises and adjacent to each other. W.e.f. 01.01.22, if goods are sold through e – commerce operator (ECO) from a restaurant then the ECO is required to charge GST @ 5% and not XYZ. If a customer is giving a single order for both the items viz. sold through restaurant as well as through sweet shop, what will be GST Rate and who will be liable to pay GST?
Supply through E - Commerce (Hybrid Order)
05 Jan 2022 
3 Replies 
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GST liability for restaurant services: ECO responsible for tax on restaurant supplies while suppliers retain liability for non restaurant goods.
Restaurant service supplies made through an e commerce operator are taxable in the hands of the ECO and must be charged and deposited by the ECO; supplies not falling within restaurant service remain taxable in the hands of the supplier, while the ECO continues to perform TCS and related collection/reporting obligations. Classification issues arise where sweet shop sales with dine in may be treated as restaurant services under some advance rulings. (AI Summary)
Restaurant service supplies made through an e commerce operator are taxable in the hands of the ECO and must be charged and deposited by the ECO; supplies not falling within restaurant service remain taxable in the hands of the supplier, while the ECO continues to perform TCS and related collection/reporting obligations. Classification issues arise where sweet shop sales with dine in may be treated as restaurant services under some advance rulings. (AI Summary)