what is gst rate on service charge charged for banquet service??
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Quick Summary
This discussion clarifies the Goods and Services Tax (GST) rate applicable to service charges on banquet services provided by hotels. It explains that these are considered composite supplies, meaning the GST rate follows that of the main supply, which is usually food. The applicable rate is 5% without input tax credit (ITC) or 18% with ITC, as per Notification 20/2019 CT (R), unless specific premises are involved.