Can a Bar/Restaurant sell cigarettes to its customers along with beverages and food items ? If yes, how shall the GST billing be done ?
Reply- Yes, Bar/Restaurant can sell cigarettes to its customers along with beverages and food items charging 5% GST without ITC.
In our opinion, if cigarettes are sold in packs then it will be taxable @28%GST along with Compensation cess as provided in Notif. No. 1/2017-Compensation Cess(Rate) dated 28.06.2017 as amended.
Posted Date: Apr 03, 2021