Service Tax Applicability on AC Restaurants

[krishna besta]

Dear All,

it is knowing that In the New Budget it is applicable Service tax on All AC Restaurants which is served food & beverages. What is the date from w.e.f And Please provide an Example of how to calculate Service tax portion & VAT Portion in total bill which is served food & beverages in AC Restaurants.

Regards,

Krishna.B

[Guest]

W.E.F. 01/04/2013

Gross amount before calculating any tax but service charges if any has to be included

AI Summary

Service tax on AC restaurants applies to establishments serving food and beverages; tax computed on gross bill including service charges. Service tax applies to air conditioned restaurants supplying food and beverages; the taxable base is the gross amount of the bill, and any service charges included must be part of that taxable gross, while VAT is treated separately on the value of the goods supplied.