Gst rate in restaurants

what is the threshold limit for restaurants as composition????

what should be the rate if crosses threshold limit??
Replies (5)
Quick Summary
This discussion clarifies GST rates for restaurants, particularly concerning the composition scheme. The threshold for the composition scheme is up to ₹1.5 crores. If this limit is exceeded, the regular GST scheme applies, with a tax rate of 18%. For those opting for the composition scheme, a 5% tax on sales is applicable without Input Tax Credit (ITC). Crucially, if a restaurant crosses the ₹1.5 crore threshold, they can still opt for the 5% GST rate without ITC, and there's no turnover limit for this option.

For composition scheme limit is upto 1.5 crores rupees.

If limit exceeds then composition scheme is not applicable and regular scheme is applicable and regular GST registration should be taken
Composition scheme limit - 1.50 crores
If you are registered composition scheme. Then you have to submit 5% Tax of your sale


If limit exceeds then composition scheme is not applicable and regular scheme is applicable and Tax rate - 18%
If limit crossed 1.5 Crores: Restaurants can opt for 5% without ITC right ?

Yes 5% GST is applicable

It's 5% tax without itc. No limit on turnover

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Follow