As per current GST rules in force, currently AC restaurants and non-AC restaurants attract a GST tax rate of 18% and 12% respectively across the table. Further, GST panel that sat in for a discussion also considered lowering of the rate to a unified 12%.
GST Rate For AC And Non-AC Restaurants May Be At Par At 12%
Few of the premium restaurants with presence in 5-star or above rated hotels may still be kept in the 18% tax bracket. Initially the GST rate implication was kept at a higher slab rate of 28% which was then reduced to 18%.
Also, there exists a confusion over tax rates for restaurants that offer both AC and non-AC dining space. The final call on the agenda shall be taken on November 9 meet of the Council at Guwahati. But the issue shall be discussed upon by the GST panel on October 29.
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