Incidence of GST on providing catering services in train. - GST - States - 02/2018-GST

GOVERNMENT OF ASSAM ORDERS BY THE COMMISSIONER OF STATE TAX, ASSAM KAR BHAWAN, DISPUR, GUWAHATI-6 Order No. 02/2018-GST Dated Dispur, the 5th May, 2018. Subject: Incidence of GST on providing catering services in train. No. CT/GST-12/2017/62.- Different GST rates are being applied for mobile and static catering in Indian Railways which is presently leading to a situation whereby the same licensee (selected by Indian Railways/IRCTC) supplying the same food would be subjected to different GST rates depending on whether it is mobile or static catering, as also which variant of mobile catering it is [pre-paid (without option), pre-paid (with option) or post-paid]. The rate difference is resulting in the same food being supplied at two different rates to the railway passengers, which is anomalous. The passenger is not aware as to the GST rate applicable to the food ordered by him/her. This may also lead to unnecessary litigation and thus further strengthens the need for uniform application of tax rate in respect of food and drinks in/by Railways. With a view to remove any doubt or uncertainty in the matter and bring uniformity in the rate of GST applicable for all kinds of supply of food and drinks made available in trains, platforms or stations, the Commissioner with the approval of GST Implementation Committee, hereby clarifies that the GST rate on supply of food and/or drinks by the Indian Railways or Indian Railways Catering and Tourism Corporation Ltd. or their licensees, whether in trains or at platforms (static units), will be 5% without ITC. Sd/- Anurag Goel, Commissioner of State tax, Assam, Dispur, Guwahati Dated Dispur, the 5th May, 2018 Memo No. CT/GST-12/2017/62-A