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Food & Dining5% GST RateUpdated July 2026

Calculate GST for Restaurants

Compute GST on dining services, cafe bills, takeaways, and popular online food ordering platforms.

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Quick Summary

HSN/SAC Code#9963
Tax CategoryFood & Dining
ITC EligibilityEligible (with valid tax invoice)
Effective DateCurrent Fiscal Year
Applicable Tax
5%
Standard GST RateHSN Code 9963

GST Rate Explanation

Under the Indian Goods and Services Tax framework, a tax rate of 5% is levied on restaurants. This rate was finalized by the GST Council based on standard industry categories and matching classifications under the Harmonized System of Nomenclature (HSN).

Calculation Mode
Net Amount (Before Tax)₹10,000.00
CGST (Central Tax) (2.5%)₹250.00
SGST (State Tax) (2.5%)₹250.00
Total GST (5%)₹500.00
Gross Amount₹10,500.00

Visual Tax Split & Collection Rules

Intrastate Split Allocation
CGST (Central Tax): 2.5%
SGST (State Tax): 2.5%

Within State (CGST + SGST)

When supply is within the same state (intrastate), the CGST and SGST are collected. The total tax is split 50/50 between Central and State governments.

Across States (IGST)

When supply spans across states (interstate), a single Integrated GST of 5% is collected in full by the Central government before allocation.

GST Rate Structure Slabs

Tax SlabCGST (Central)SGST (State)IGST (Integrated)Notes
0%0.0%0.0%0.0%Exempted / Nil rated goods
5%2.5%2.5%5.0%Essential items & services
12%6.0%6.0%12.0%Standard reduced rate items
18%9.0%9.0%18.0%Standard general rate items
28%14.0%14.0%28.0%Luxury / Sin goods & services

GST Calculation Examples

Dining out at a standard AC/Non-AC restaurant

Add GST (Exclusive)

Formula: Amount + (Amount × Rate%)

Base Amount: ₹1,200.00

GST (5%): ₹60.00

Total: ₹1,260.00

Remove GST (Inclusive)

Formula: Amount − (Amount / (1 + Rate%))

Total Amount: ₹1,200.00

Base Amount: ₹1,142.86

GST Included: ₹57.14

Group dining bill

Add GST (Exclusive)

Formula: Amount + (Amount × Rate%)

Base Amount: ₹3,500.00

GST (5%): ₹175.00

Total: ₹3,675.00

Remove GST (Inclusive)

Formula: Amount − (Amount / (1 + Rate%))

Total Amount: ₹3,500.00

Base Amount: ₹3,333.33

GST Included: ₹166.67

Frequently Asked Questions

Tax Disclaimer Notice

Standard restaurant services attract 5% GST without Input Tax Credit. Star hotels with high room tariffs may attract higher rates.

Last updated: July 2026