A FAMOUS CHAIN OF RESTAURANT IS GIVING FRANCHISE. IT COLLECTS A ONE TIME FRANCHISEE FEES AND ROYALTY (FIXED OR TURNOVER BASED) FROM THE FRANCHISEE ON WHICH GST IS CHARGED.
STAND ALONE RESTAURANTS ARE NOW REQUIRED TO CHARGE GST @ 5% HOWEVER THEY CAN NOT AVAIL ITC.
ON ROYALTY HOWEVER THE RATE OF GST IS 18%. IN THIS CASE WILL ITC BE AVAILABLE??? IF YES HOW??
CAclubindia
