Increase in GST Rate for Ice Cream Parlours | #InAminute
Watch now LawWiser’s In a Minute video where Jatin Arora, Partner, Phoenix Legal, takes us through the “Increase in GST rate for ice cream parlours”.
The decision was made in the 45th meeting that the ice cream parlours serving ice cream are not on the same footing as that of a restaurant. Hence, they are subjected to a GST rate of 18% on supply of ice cream as against the GST rate of 5% applicable to the restaurants.
Till now, the ice cream parlours were charging 5% GST on their supplies like the restaurants, without availing the input tax credit. Jatin discusses the impact of clarification provided by the Government vide circular No. 164/20/2021 dated 6th October 2021, regarding the applicable GST rate on the supply of ice cream by ice cream parlours.
To understand this clarification and whether it will put a huge financial burden on small businesses or not and much more, watch the full video here!
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