GST for restaurants and cafes

Most standalone restaurants charge GST at 5%, but with a catch.

The 5% no-credit rule

At 5%, you cannot claim input tax credit on your purchases. Restaurants inside hotels with high room tariffs are taxed at 18% and can claim credit.

Billing

Show the GST clearly on the bill. If you also do takeaway or delivery via an app, the platform handles parts of the GST, so reconcile those separately.