In re Kundan Misthan Bhandar (GST AAR Uttarakhand)
(a) whether supply of pure food items such as sweetmeats, namkeens, cold drink and other edible items from a sweetshop which also runs a restaurant is a transaction of supply of goods or a supply of service?
The supply shall be treated as supply of service and sweet shop shall be treated as extension of restaurant;
(b) what is the nature and rate of tax applicable to the following items supplied from ground floor of a sweetshop in which restaurant is also located on the first floor and whether the applicant is entitled to claim benefit of input tax credit with respect to the same?
(i) Sweetmeats, namkeens, Dhokla etc. commonly known as snacks, cold drinks, ice creams and other edible items;
(ii) Ready to eat (partially or fully pre-cooked/ packed) items supplied from live counters such as jalebi, chola bhatura and other edible items;
(iii) Takeaway order of sweetmeats or namkeens by a person sitting in the restaurant of a sweetshop when such products are not consumed within the premises of the applicant but are takeaway
The rate of GST on aforesaid activity will be 5% as on date, on the condition that credit of input tax charged on goods and services used in supplying the said service has not been taken;
All the items including takeaway items from the said premises shall attract GST of 5% as on date subject to the condition of non availment of credit of input tax charged on goods and services used in supplying the said service.
Also Read AAAR Ruling- Sale of sweets, namkeens etc. is ‘composite supply’ and no input credit allowed: AAAR
FULL TEXT OF ORDER OF AUTHORITY OF ADVANCE RULING (UTTARAKHAND)
Note : Under Section 100(1) of the Uttarakhand Goods and Services Tax Act, 2017 an appeal against this ruling lies before the appellate authority for advance ruling constituted under Section 99 of the Uttarakhand Goods and Services Tax Act, 2017, within a period of 30 days from the date of service of this order.
1. This is an application under Sub-Section (1) of Sectioin 97 of the CGST/SGST Act, 2017 (herein after referred to as Act) and the rules made thereunder filed by. M/s. Kundan Misthan Bhandar, Subhash Market, Ramnagar (Nainital) Uttarakhand, primarily engaged in the business of supplying goods & services both and seeks and advance ruling on the question, details of which given below as:
(a) whether supply of pure food items such as sweetmeats, namkeens, cold drink and other edible items from a sweetshop which also runs a restaurant is a transaction of supply of goods or a supply of service;
(b) what is the nature and rate of tax applicable to the following items supplied from ground floor of a sweetshop in which restaurant is also located on the first floor and whether the applicant is entitled to claim benefit of input tax credit with respect to the same:
(i) Sweetmeats, namkeens, Dhokla etc. commonly known as snacks, cold drinks, ice creams and other edible items;
(ii) Ready to eat (partially or fully pre-cooked/ packed) items supplied from live counters such as jalebi, chola bhatura and other edible items;
(iii) Takeaway order of sweetmeats or namkeens by a person sitting in the restaurant of a sweetshop when such products are not consumed within the premises of the applicant but are takeaway
2. Advance Ruling under GST means a decision provided by the authority or the appellate authority to an applicant on matters or on questions specified in sub section (2) of section 97 or sub section (1) of section 100 in relation to the supply of goods or services or both being proposed to be undertaken or proposed to be undertaken by the applicant.
