TaxTMI 
TaxTMI 
2026 (2) TMI 1250
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....diverse range of freshly made food and beverage items. The operations will be carried out through the applicant's own network of retail outlets located across various areas of the city. The proposed product line will include Bhajiya, Khaman, Sandwiches, Pizza, Juices, Falooda, Milkshakes, Ice cream and other food and beverages. All food and beverage items will be freshly prepared at the applicant's same premises or manufacturing unit. These items will then be delivered and served directly through the applicant's own outlets. The ice cream will be made at the same premises or manufacturing unit. After manufacturing, the ice cream will be:- • Sold directly through the applicant's own outlets to customers for end-use consumption ....
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....iness (B2B) and business-to-consumer (B2C) basis? 4. The applicant has placed reliance on the following legal framework and clarifications: (a) Notification No. 20/2019-CT(R) dtd. 30.09.2019 which defines 'Restaurant Service' as supply, by way of or as part of any service, of goods, being food or any other article for human consumption or any drink, provided by a restaurant, eating joint including mess, canteen, whether for consumption on or away from the premises where such food or any other article for human consumption or drink is supplied. (b) Reliance is also placed on the clarification regarding 'Supply of ice cream by ice cream parlours' issued vide Circular No. 164/20/2021-GST dtd. 06.10.2021. As per the clarifi....
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...., which has already been reproduced supra. Discussion and findings 6. At the outset, we would like to state that the provisions of both the CGST Act and the GGST Act are the same, except for certain provisions. Therefore, unless a mention is specifically made to such dissimilar provisions, a reference to the CGST Act would also mean a reference to the same provisions under the GGST Act. 7. We have considered the submissions made by the applicant in their application for advance ruling as well as the submissions made both oral and written during the course of personal hearing. We have also considered the issue involved, the relevant facts & the applicant's submission/interpretation of law in respect of question on which the advance ....
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....ink, provided by a restaurant, eating joint including mess, canteen, whether for consumption on or away from the premises where such food or any other article for human consumption or drink is supplied. Further, as per the explanatory notes, services provided by a restaurant fall under SAC 996331 and includes takeaway services, room services and door delivery of food. Also, as per Sr. No. 6 of Schedule II to the CGST Act, 2017 - "supply, by way of or as part of any service or in any other manner whatsoever, of goods, being food or any other article for human consumption or any drink (other than alcoholic liquor for human consumption), where such supply or service is for cash, deferred payment or other valuable consideration" is a composite ....
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....efore, when the applicant supplies the ice cream, which is prepared in a separate manufacturing unit, over the counter to customers, it would be considered as supply of goods. However, if they are supplied along with cooked food or used in faludas, milk shakes, juices etc., they would qualify as restaurant service. As regards the ice cream prepared in the applicant's retail outlet and supplied to dine in or retail customers, we feel that the same would partake the character of foods prepared in the restaurant and hence fall under the definition of 'restaurant services', even if they are taken away without consuming in the retail outlet. However, when such ice cream is supplied as a part of business-to-business transactions, whether it is ma....
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....s supplied in the course of business-to-business (B2B) transactions? Ans 1: (i) supply of ice cream manufactured outside the retail outlet when sold over the counter, does not qualify as 'restaurant service' and would be considered as supply of goods. However, when they are supplied along with food or used in faludas, milk shakes, juices etc., they would qualify as restaurant service. (ii) Ice cream prepared in the applicant's retail outlet and supplied to dine in or retail customers would fall under the definition of restaurant services and qualify as restaurant services. (iii) Ice cream manufactured as a part of business-to-business transactions, whether it is manufactured outside and brought to the outlet or manufactured at the ....