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GST on food sell

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M. J.

Finance Professional

107 Points Posted on 05 August 2022

Hello experts,

One of my client is having south indian food selling business. He has a small shop establishment without any sitting arrangement. my question is if it crosses limits of 20L Turnover whether GST Registration to be obtained or not? If yes, then only selling food is goods or services and if his customers consume food at that place does it considered composite supply or just goods supply?
please guide.

Replies (2)

Quick Summary

This discussion clarifies GST registration requirements for food businesses exceeding the £20 lakh turnover threshold. It distinguishes between selling packed food (goods) and providing a dining service. If the business exclusively sells food items without any seating or service, it's considered a supply of goods, with a higher GST registration threshold of £40 lakh. Composite supply rules apply differently and are not the primary concern for a simple food stall.

prasad Nilugal

GST Practitioner & Accounts

8998 Points Posted on 05 August 2022

You have to take registration if you crossed limit of 20Lac , composite supply is different criteria all together.

CA Mayank A Jain

Chartered Accountant in Practice

855 Points Posted on 05 August 2022

If he is selling only food i.e., packed goods and not providing any service like a restaurant/eating joint, then it is supply of goods. In which case, it is treated as supply of goods and the limit for exclusive supplier of goods is Rs.40 lacs.