Food in mess/canteen of educational institution to attract 5% GST
April 11, 2018  21:21
Food and drinks in a mess or canteen of an educational institution would attract 5 per cent goods and services tax, the finance ministry said today.
 
However, if schools up to higher secondary level supply food directly to students, then the same are exempt from the goods and services tax, it added.
 
"With a view to removing any doubt or uncertainty regarding rate of GST applicable on supply of food and drinks in educational institutions, it is clarified that GST rate on supply of food and drinks in a mess or canteen in an educational institution attracts GST at 5 per cent without Input Tax Credit (ITC).
 
The GST, which subsumes over a dozen local taxes, was rolled out from July 1. Under the new indirect tax regime, various goods and services have been placed in four tier tax bracket -- 5, 12, 18 and 28 per cent. -- PTI
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