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Updated June 2026
GST on Restaurant Food — The 5% Rule & Checking Your Bill
Most restaurant meals in India carry 5% GST — whether the place is AC or non-AC, dine-in or takeaway. The big exception: restaurants inside hotels where the room tariff crosses the threshold charge 18%. Food delivery apps collect 5% on the food too. Use the calculator to verify any bill, and see the full rules below.
🍽️ Check a Restaurant Bill
Total bill
GST
Service charge
optional — you may refuse
GST applies on food + service charge (if levied). Service charge itself is optional since the 2022 CCPA guidelines — you can ask for it to be removed.
⚠️ Disclaimer: CalcSmart is not a tax, financial, legal or medical advisor. Calculators and content here are for general information only, compiled from publicly available rules and rates that change frequently. Always verify the accuracy and freshness of figures with official sources (e.g. incometax.gov.in, cbic.gov.in, your bank) or a qualified professional before acting on any result.
Restaurant GST Rates in 2026
| Setting | GST rate | Input tax credit for restaurant |
|---|---|---|
| Standalone restaurant, café, dhaba (AC or non-AC) | 5% | No |
| Takeaway / cloud kitchen | 5% | No |
| Food delivery apps (Swiggy, Zomato) — food value | 5% | Collected by the app |
| Restaurant inside hotel with premium room tariff | 18% | Yes |
| Outdoor catering | 5–18% | Depends on arrangement |
| Alcohol | No GST | State VAT/excise applies instead — it appears as a separate line |
How to Spot an Incorrect Bill
- GST above 5% at a regular restaurant? Unless you're dining inside a premium hotel, 5% is the ceiling. 12% and 18% restaurant charges outside hotels are a red flag (and 12% doesn't even exist as a slab any more).
- Service charge is not a tax. It's an optional tip the restaurant adds itself (often 10%). Per the CCPA's 2022 guidelines you may ask for it to be removed — though note GST is correctly charged on it if you do pay it.
- GST on alcohol is wrong. Liquor is outside GST; it attracts state VAT shown separately. A bill charging 5% GST on your beer is incorrect.
- Composition-scheme restaurants can't charge you GST at all. Small restaurants under the composition scheme pay 5% from their own pocket and must not add a GST line to your bill. Look for "composition taxable person" on the bill.
💡 Delivery apps: since 2022, Swiggy/Zomato collect and remit the 5% GST on restaurant food themselves. You should see 5% on the food value — plus 18% GST on the platform/delivery fee, which is a separate service.
Frequently Asked Questions
5% for standalone restaurants, cafés, takeaways and cloud kitchens — AC or non-AC makes no difference. Restaurants located inside hotels with premium room tariffs charge 18% with input tax credit. These rates were unchanged by GST 2.0.
No. Service charge (typically 10%) is optional under the CCPA guidelines of July 2022. You can ask for it to be removed from the bill. It is not a government tax — but if you do pay it, GST is correctly calculated on the food + service charge total.
5% on the restaurant food value (collected and remitted by the app since January 2022), plus 18% on the platform's own fees such as delivery and handling charges. Restaurant packaging charges are taxed at 5% with the food.
Alcoholic beverages are constitutionally outside GST. Restaurants charge state VAT/excise on liquor instead, shown as a separate line. GST applies only to the food and non-alcoholic drinks portion.
Only if it's regularly registered. Restaurants in the composition scheme (turnover up to ₹1.5 crore) pay a 5% tax themselves and are prohibited from collecting GST from customers — their bills must say 'composition taxable person, not eligible to collect tax'.