No. they are not eligible for composition levy as they are also supplying liquor.
( FAQ10(vi): FOOD PROCESSING)
Caterpillar is a restaurant cum bar in Kolkata. It has successfully migrated to GST. While the first floor area of the restaurant is air conditioned and supplies food as well as liquor, the ground floor serves only food and is non-air-conditioned. Caterpillar wants to know: Whether they will be eligible for ITC on crockery items purchased locally in the month of March, 2017 paying VAT of Rs.72,500/-. The goods have been shown as business assets.
If the State VAT law allowed ITC on such goods, the credit was available on the date of purchase.Section 140(1) of the SGST Act, 2017 allows them to carry forward the credit on account of VAT.
(FAQ10 (v): FOOD PROCESSING)
Caterpillar is a restaurant cum bar in Kolkata. It has successfully migrated to GST. While the first floor area of the restaurant is air conditioned and supplies food as well as liquor, the ground floor serves only food and is non-air-conditioned. Caterpillar wants to know:) Can they claim ITC of CGST and SGST paid on crockery items to be used in the restaurant
- Yes, they can claim ITC of CGST and SGST paid on crockery items to be used in the restaurant.
- It may be stated that they are entitled to the credit of even IGST paid where such goods are procured from outside the State against a tax invoice.
(FAQ 10(iv): FOOD PROCESSING)
Caterpillar is a restaurant cum bar in Kolkata. It has successfully migrated to GST. While the first floor area of the restaurant is air conditioned and supplies food as well as liquor, the ground floor serves only food and is non-air-conditioned. Caterpillar wants to know:What will the rate of tax to be charged for supplies of food made from their takeaway counter
Tax has to be charged @18% on supplies of food made from their takeaway counter.
(FAQ 10(iii) : FOOD PROCESSING)
Caterpillar is a restaurant cum bar in Kolkata. It has successfully migrated to GST. While the first floor area of the restaurant is air conditioned and supplies food as well as liquor, the ground floor serves only food and is non-air-conditioned. Caterpillar wants to know:Whether they can raise one tax invoice for both food and liquor or not
Tax invoice has to be issued for supply of food, while for liquor a bill of supply has to be issued or any invoice as may be required under the provisions of local VAT or sales tax law of the concerned State.
(FAQ 10(ii): FOOD PROCESSING)
Caterpillar is a restaurant cum bar in Kolkata. It has successfully migrated to GST. While the first floor area of the restaurant is air conditioned and supplies food as well as liquor, the ground floor serves only food and is non-air-conditioned. Caterpillar wants to know:Whether they will charge GST @ 12% on supplies made from ground floor or 18%
- Tax will have to be charged @ 18% irrespective of from where the supply is made, first floor or second floor.
- If any part of the establishment has a facility of air conditioning then the rate will be 18% for all supplies from the restaurant.
(FAQ 10(I): FOOD PROCESSING)
Assuming, I apply for voluntary registration and obtain GST registration:Is place of supply required to be mentioned in the tax invoice for local sales also
No. Under Rule 46(b) of the CGST Rules, 2017, the place of supply along with
the name of the State is required to be mentioned in case of an inter–State
supply only.
(FAQ 9(v)(g): FOOD PROCESSING)
Assuming, I apply for voluntary registration and obtain GST registration:I have three shops in the city, can I issue tax invoices using prefix for these different locations
Yes. It may, however, be ensured that the invoice conforms to the requirements under Rule 46(b) of the CGST Rules, 2017.
(FAQ 9(v)(f): FOOD PROCESSING)
Assuming, I apply for voluntary registration and obtain GST registration:Is it compulsory to show the tax amount separately on the face of the tax invoice
Yes, it is mandatory under section 33 of the CGST Act, 2017.
(FAQ 9(v) (e): FOOD PROCESSING)
Assuming, I apply for voluntary registration and obtain GST registration:Will I have to issue tax invoice for all sales that I make i.e. branded or un-branded after getting registered
- Rice put up in a unit container and bearing a registered brand name is taxable @5% and tax invoice has to be issued for supply of taxable goods [ Section 31(1) ofthe CGST Act, 2017 read with Rule 46 of the CGST Rules, 2017].
- For sale of goods exempt from tax i.e. unbranded rice, a bill of supply has to be issued [ Section31(3) (c) of the CGST Act, 2017 read with Rule 49 of the CGST Rules, 2017].
(FAQ 9(v)(d); FOOD PROCESSING)