Banquet booking with GST

As we are exploring booking of banquet, there are 2 option:

 

1. Booking of banquet on rent and meal separately plus GST

 

2. No charges for banquet but high rate for plate. Definitely, banquet rent is hidden under plate rate.

 

What is tax planning? Please advise.

 

Replies (6)
Quick Summary
This discussion explores tax planning strategies for banquet bookings, particularly concerning Goods and Services Tax (GST). It clarifies the implications of separate charges for venue rental and meals versus bundled pricing. The key takeaway is that Input Tax Credit (ITC) on banquet expenses is only claimable if the booking is for business purposes and meets specific GST regulations regarding the place of supply.

If you are booking banquet for business purpose then only you can avail ITC og GST. Better book banquet with all facilities as part of its rent.
You can have separate bill for Banguet Rent & can claim ITC on the same but it is subject to provision of Section 12(3) the pos is where the Banguet is located. So if you have place of Business in same state where the Banguet is located you can claim ITC as Supplier will charge CGST/SGST only .

Note : ITC is available subject to Conditions prescribed in Section 16(2).
YOU CANNOT CLAIM INPUT TAX CREDIT HERE BECAUSE FOR THE SOLE REASON you are not organizing these banquet for business purpose.
Yes you can if it is in course & furtherance of business.

My simple query as to why Hotel is not charging for banquet separately but the same is being loaded wuth guest meal plate price . Is there any GST / INCOME TAX planning in place ?

Then it's OK.

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 04 September 2026
Accounts Executive

Hema Yashwanth & Associates

Chennai

B.Com

View Details
Company
15 September 2026
Client-site CA associate

Aditya Muley and Co

Mumbai

CA

View Details
Company
ARTICLESHIP 15 September 2026
Freelance Taxation Content Writer Intern

Interactive Media Pvt Ltd.

New Delhi

CA Inter

View Details
Company
25 August 2026
Senior Accountant

MG Associates

New Delhi

CA Inter

View Details
Company
08 September 2026
Audit Executive

Thammana & Associates

Srikakulam

B.Com

View Details
Company
ARTICLESHIP 26 August 2026
CA Article Assistant/CA Drop Out/Accounts Executive

PARV & Co.

New Delhi

CA Inter

View Details
Company
28 August 2026
Audit Manager

K A R M & CO

Mumbai

CMA

View Details
Company
ARTICLESHIP 24 August 2026
Chartered Accountant Articles

Rohit KC Jain & Co

New Delhi

CA Inter

View Details