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GST rates of Hotel and Restaurant's Industry - whether regular or composition scheme?

Piyush Shirodkar (CA Final Student) (1358 Points)

28 August 2018

GST rates of Hotels and Restaurant's as on date are:

18% with ITC
5% without ITC

So my query is, whether "5% without ITC rate", is it regular or composition scheme?

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10 Replies

Pankaj Rawat (GST Practitioner) (55032 Points)
Replied 28 August 2018

In case of restaurant services:

For both , as composition dealer cannot claim ITC , & regular dealer not eligible for ITC as per Notification 46.

1 Like

Vinod Babu (24191 Points)
Replied 29 August 2018

No ITC on restaurants

As per Notification No. 46/2017-Central Tax (Rate), dated 14th November 2017, standalone restaurants will charge only 5% GST but cannot enjoy any ITC on the inputs.

Piyush Shirodkar (CA Final Student) (1358 Points)
Replied 29 August 2018

What if restaurant has opted GST @ 18%?
Can they claim ITC in that case?

Pankaj Rawat (GST Practitioner) (55032 Points)
Replied 29 August 2018

NO THE RESURANT CANNOT OPT FOR 18% GST ON FORWARD CHARGE

1 Like

dushyant sharma (STUDENT) (50 Points)
Replied 17 June 2019

SO IT MEANS WETHER THE PERSON HAVE OPTED COMPOSITION OR REGULAR RATE IS 5% BUT NOT TO AVAIL OR UTILIZE INPUT CREDIT .

DO I AM CORRECT

dushyant sharma (STUDENT) (50 Points)
Replied 17 June 2019

SO IT MEANS WETHER THE PERSON HAVE OPTED COMPOSITION OR REGULAR RATE IS 5% BUT NOT TO AVAIL OR UTILIZE INPUT CREDIT . DO I AM CORRECT

dushyant sharma (STUDENT) (50 Points)
Replied 17 June 2019

SO IT MEANS WETHER THE PERSON HAVE OPTED COMPOSITION OR REGULAR RATE IS 5% BUT NOT TO AVAIL OR UTILIZE INPUT CREDIT . DO I AM CORRECT

dushyant sharma (STUDENT) (50 Points)
Replied 17 June 2019

SO IT MEANS WETHER THE PERSON HAVE OPTED COMPOSITION OR REGULAR RATE IS 5% BUT NOT TO AVAIL OR UTILIZE INPUT CREDIT . DO I AM CORRECT

Pankaj Rawat (GST Practitioner) (55032 Points)
Replied 18 June 2019

yes correct !!!!!!!!!!!!

hourlyhotels (web design) (22 Points)
Replied 10 October 2020

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