Restaurants decrease GST from today

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Restaurants decrease GST from today

Are you worried about GST on restaurant bills? There is a good news for you as the bills get cheaper with lowering of tax rate to 5 percent earlier was around 12 percent and 18 percent for non-AC restaurants and AC restaurants. This was been come to has effect from today.

Present GSt charges in AC restaurant is 18 percent and non AC restaurant is about 12 percent. GST council states that the Input Tax Credit (ITC) to customers is not passed and hence the ITC facility is said to have withdrawn. Hence 5 percent tax is said to be imposed towards restaurants that are with and without AC.

The per-day room tariff in starred hotels is about Rs 7,500. A GST of 18 percent which will be levied as GST, but ITC is allowed too. For restaurants which charge lesser than Rs 7500 as room tariff, the GST will be reduced to 5 percent and no ITC shall be applicable.

 

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