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Informative

18% GST leviable on Catering Service along with Renting of Premises for more than Rs. 7500/-: AAR

Update / Judgement Date

07 Oct 2024

Source

Taxscan

Author

Team — WCP Legal Desk

Reading Time

1 min read

Excise, VAT & CustomGST

The GST Authority for Advance Rulings (AAR) has ruled that an 18% GST will be levied on catering services when provided along with renting of premises, if the total charge exceeds INR 7,500. This decision clarifies the tax treatment of bundled services like catering and venue rental, stating that such transactions do not qualify for reduced GST rates. The ruling highlights the importance of segregating charges to benefit from lower GST rates and avoid disputes.