Service tax on hotels

Pawan Mittal (CA Final) (702 Points)

26 March 2013  

In the budget 2013-14, Govt. has levied Service Tax on Hotels, for serving foods.

Please tell me how it will be calculated.

Will it be charged on the whole amount of the bill or the hotel will give two separate bills for services and foods?

What is the rate of VAT in case of hotels?