TMI BlogRestaurant Hotel Group Booking Lumpsum Billing on Per Head BasisX X X X Extracts X X X X X X X X Extracts X X X X ..... Facts - A Restaurant has come up with a scheme for customer. If a group of say 50 persons (for example) makes booking on particular day and time, they are charged at say ₹ 1000/- per person (for example) with unlimited food available in that amount, and say ₹ 1000/- per person (for example) with unlimited liquor available in that amount. While the group / party goes on various food ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... beverage or liquor orders are punched for actual billing internally for record purpose, however the final bill is raised as follows - Food Bev Package = ₹ 1000 x Qty 50 / Total 50000 + 5% GST = 52500/- Liquor Package = ₹ 1000 x Qty 50 / Total 50000 + 5% VAT = 52500/- Actual value of the actual consumption and supplies as per the card rates (for example F B ₹ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 35000/- and Liquor say ₹ 25000/-) may be higher or the lower than the above-said billed figures. Issues - a) What are the supplies / services involved in this transaction ? Supply of the food, beverages (restaurant) liquor ?? If yes would the entire consideration as per, per head charge would get appropriated towards the actual supplies made ? b) Would, making available a party b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ooking by itself be treated as separate service? What would be the supply, its consideration and valuation in such case ? My opinion - Supply made F B (at actual Card rate ₹ 35000/-) consideration as per contract ₹ 50000/- Supply made of Liquor (at actual Card rate ₹ 25000/-) consideration as per contract ₹ 50000/- - Reply By Rajagopalan Ranganathan - The Reply = ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Sir, As per your query the rate of ₹ 1000/- per head is for unlimited supply of F B and liquor. However, the card rate of ₹ 35000/- is with reference to quantum of F B consumed and card Rate of ₹ 25000 is for the quantum of liquor consumed. The party who pays ₹ 1000/- per head is not bothered whether the supply made is valued at ₹ 35000/- or less but as per c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ontract the party has to pay ₹ 1000/- per head. In my view gst is payable on the contract value of supply ,irrespective of the fact the value of the quantum of F B and liquor consumed is less than or more than the contract value. You have to pay gst on the contract value of ₹ 1000/- per head mutiplied by the number of persons participated in the party. - Reply By Sagar Phadke - T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he Reply = Yes Sir I have also expressed same opinion @ supply value 50K each. My fear was, if some officer would creatively think that this is a different kind of service and hence taxable at 18% Regards - Reply By DR.MARIAPPAN GOVINDARAJAN - The Reply = Yours is restaurant service liable to 5% tax under GST laws. Liquor is not coming under GST. You have also billed separately for these ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... two supplies. Therefore there is no question of higher rate of tax. I endrose the views of Shri Renganathan. - Reply By Mahir S - The Reply = Yes, both the views expressed by learned persons are correct in the present case. - Reply By KASTURI SETHI - The Reply = I support the views of all experts. - Restaurant Hotel Group Booking Lumpsum Billing on Per Head Basis - Query Started By: - Saga ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r Phadke Dated:- 3-7-2020 Goods and Services Tax - GST - Got 5 Replies - GST - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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