GST On Takeaways And Online Food Delivery

Abstract

Food and beverage taxes have been controversial for over 50 years. The main controversy arose from theHindi Catering Corporation case, where a restaurant meal was considered a service due to the decisionto pay more than 18% of the remaining food, with the ITC being used to collect all taxes. After manydeclarations to the government since 01/10 in 2019, the tax rate has changed to 5% if ITC is not used. The author will discuss the above issues that came to the fore after the final decision of the Madras High Court—the legal effect of 5% GST without ITC under VAT communiqué No. Whether foodstuffs are considered goods or services is still unanswered