We are running a restaurant business and have added a new combo pack of Sushi (Food) + Wine (Alcoholic liquor for human consumption) for a defined value of Rs. 1500. Is GST is required to be charged on total value of food and alcoholic and need to be reported as taxable sale in GSTR-1? What is the possible treatment under VAT to report the same and discharge VAT liability? And if we report Rs.1500 in both GST and VAT wouldn't it result in double reporting of a supply?
Mixed Supply of a GST and Non GST product
DAMINI TALWAR
GST on Combo Packs: Charge Only on Sushi, Not Wine; Bifurcate Invoice to Avoid Double Taxation Under VAT and GST. A restaurant business owner inquired about the GST implications of a combo pack that includes sushi (a GST product) and wine (a non-GST product). Respondents clarified that alcoholic liquor is outside the GST regime, so GST should not be charged on the wine portion. It was suggested to bifurcate the invoice, charging GST only on the food portion. Concerns about double reporting under VAT and GST were addressed, noting that non-GST goods cannot be part of a mixed supply, thus eliminating the risk of double taxation. (AI Summary)