Canteen supplies provided by outside vendors to attract 18% GST - AAR
PrintListen to this Article
0:00
0:00
The Authority of Advanced Ruling (AAR) for the goods and services tax (GST) has ruled that firms supplying food and beverages to canteens of other organisations are ‘outdoor caterers’ and the service would attract an 18% GST.
The ruling was delivered by Gujarat AAR on an application filed by Rashmi Hospitality Services. The firm is engaged in supplying food, beverages and other eatables at various places of their customers having in-house canteens at their factories.
The authority said the assessee provides services from other than its own premises to the recipient. So, the nature of service provided by the applicant is that of an outdoor catering service.
AAR said the applicant was providing service to the recipient and not to workers/employees of the recipient. Thus, the services were not in the nature of those provided by a restaurant, eating joints including mess and canteen, and hence can’t levy a 5% GST. #casansaar (Source - Financial Express)
The ruling was delivered by Gujarat AAR on an application filed by Rashmi Hospitality Services. The firm is engaged in supplying food, beverages and other eatables at various places of their customers having in-house canteens at their factories.
The authority said the assessee provides services from other than its own premises to the recipient. So, the nature of service provided by the applicant is that of an outdoor catering service.
AAR said the applicant was providing service to the recipient and not to workers/employees of the recipient. Thus, the services were not in the nature of those provided by a restaurant, eating joints including mess and canteen, and hence can’t levy a 5% GST. #casansaar (Source - Financial Express)
Category : GST | Comments : 0 | Hits : 737
In a significant judgment, the Bombay High Court has clarified that summons issued under the Central Goods and Services Tax (CGST) Act are meant strictly for inquiry and recording of statements, and c...
Please click on the link below to view the gross and net GST revenue collections for the month of Jan, 2026. https://tutorial.gst.gov.in/downloads/news/final_approved_monthly_gst_data_for_pub...
Jan 23rd, 2026 An advisory on reporting of taxable value and tax liability under RSP-based valuation in e-Invoice, e-Way Bill and GSTR-1 / GSTR-1A / IFF has been issued for the information ...
Comments