HOTEL & RESTURANT SERVICE

[MUKESH SAXENA]

A Person is going to hotel with resturant and room services. some quries form the service provider that. If he opt regular basis option.

1- what will be GST tax rate will be apply on the service of resturant service ( Food, Cold Drinks,Mineral water,coffee,Tea fast food etc ) such as 5%,12%,18%

2- if he opt GST 5%, can he charge GST from customers under regular basis optopn

3- can be taken benefit of ITC on purchase of material of assets and raw material.

4- If he provide food in rooms what will be GST rate applicable

5- If he provide grounds for functions, what will be GST rate tax applicable

Please provide others instructions for the same services

Thanks

AI Summary

Restaurant service classification determines GST rate, ITC entitlement, and whether tax may be collected from customers.
Restaurant supplies of food and drink supplied by hotels or eating establishments qualify as restaurant service, with over-the-counter packaged items treated as supplies of goods. Composition and regular tax regimes are mutually exclusive and optional; composition prevents collection of tax from customers and denies ITC, while the regular regime allows tax collection and ITC treatment as per ordinary rules. Food supplied in rooms is taxed according to whether it forms part of accommodation as a composite supply or is a distinct restaurant service. Renting grounds without food is rental; outdoor catering is treated as catering service for rate determination. The status of specified premises governs rate and ITC differences.