GST is an important aspect of any business. The same goes for GST on Banquet and Catering Services Business. In India, Banquet Services is quite popular and successful. Therefore, The government gains revenue by imposing GST on Banquet and Catering Services. |
Let us understand it in detail.
What are Banquet Services?
Banquet Services, as we all know, entail a more sophisticated meal than a typical family supper owing to the magnitude of the occasion or the number of people in attendance.
These services might include things like weddings, meetings, and conferences. The Banquet Hall is subject to an 18% GST charge. It is charged separately irrespective of other services.
What are Catering Services?
Catering services, in basic terms, assist clients with food preparation, manufacturing, delivery, and presentation. If you've ever been to a wedding reception where the food was well prepared and served, you've undoubtedly attended a catering event.
As a result, catering services refers to a company whose major goal is to prepare food and meals on site and then transport them to another location for consumption.
GST on Banquet and Catering Services
Banquet hall services are typically provided by India, hotels, and big banquet halls, and include hall rental and décor. They also provide restaurant services such as catering, staffing, and event planning. A banquet hall or hotel, on the other hand, can opt to rent out the space or provide catering services.
In the case of the services described above, four HSN categories are applicable.
Cafes, room services, meal delivery to your house, and other similar services are included in HSN 996331.
Catering services provided at parties, weddings, exhibition halls, and other events are covered under HSN 996334.
HSN 998553 includes reservation services for convention and congress centers
HSN 997212 includes leasing or rental services associated with the leased or owned non-residential property.
GST on Banquet Hall Services
The contention point always has been whether one should consider banquet services under HSN 997212 or HSN 996334. HSN 997212 deals with leasing or renting industrial, non-residential, and commercial structures. Also, it is applicable only in cases where leasing services are involved. However, a banquet hall provides both leasing and catering services.
GST on Banquet and Catering Services .
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