GST on Takeaway vs Restaurant Sales: Gujarat AAAR Ruling

In re Riddhi Enterprise (GST AAAR Gujarat) In Riddhi Enterprise (GST AAAR Gujarat), the Gujarat Appellate Authority for Advance Ruling (AAAR) examined whether pre-packaged food sold over the counter qualifies as “restaurant services” under GST law. The appellant, engaged in the restaurant business, prepared and sold food items for dine-in and takeaway but also sold pre-packaged food purchased from external vendors. They contended that all sales, including pre-packaged items, should be classified under “restaurant services” with 5% GST and no input tax credit (ITC). Howe...