The Central Board of Indirect Taxes and Customs (CBIC) has debunked claims of a new Goods and Services Tax (GST) on food delivery services. They clarified that the GST rate for delivery services provided via e-commerce platforms, including food apps, has actually been reduced from 18% to 5%. This change aligns with recommendations from the 57th GST Council meeting and aims to reduce confusion, not impose a new tax burden.
The Central Board of Indirect Taxes and Customs (CBIC) has clarified that claims suggesting a new GST imposition on food delivery services are factually incorrect. In a post on X, CBIC stated that GST on delivery services provided through e-commerce platforms has been reduced from 18% to 5%, following the recommendations of the 57th GST Council meeting.
According to CBIC, food delivery services, including those offered through food delivery apps, were earlier taxed at 18%. The revised rate of 5
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FAQ :
No, the CBIC has clarified that there is no new GST being imposed on food delivery services. Instead, the existing GST rate has been reduced.
The GST rate for food delivery services provided through e-commerce platforms has been reduced to 5%.
Previously, food delivery services provided through e-commerce platforms were taxed at 18%.
The reduction in GST rate was recommended by the 57th GST Council meeting.
Yes, the revised rate of 5% now applies uniformly to all delivery services provided through e-commerce platforms.