Is Service tax charges on home delivery food by Pizza hut or Mac Donald’s Valid ?

POSTED BY piyush20072008 ON February 28, 2014 3:05 pm COMMENTS (3)

Whether service tax is applicable on home delivery or take away parcel of pizza hut,dominos, Mcdonalds???

Second question: i want to ask whether Mcdonalds and domino’s pizza are liable to charge service tax under restaurant service? service tax is applicable for restaurant service which are air conditioned. service tax is not applicable to self service restaurant. As per Act serving of food is important then only they are coming under restaurant service.

Further they are selling food across the counter,they are not serving food. Then how come they are covered under service tax?

3 replies on this article “Is Service tax charges on home delivery food by Pizza hut or Mac Donald’s Valid ?”

  1. ashalanshu says:

    Dear Piyush, service tax is levied even on food parcels (take away- home deliveries) by Govt. of India, hence it’s being billed to us, the consumers. 🙂

    Thanks

    Ashal

    1. piyush20072008 says:

      Well as far i am concern service tax is not applicable on food parcels (take away- home deliveries). i am confused because many writers have said no service tax on home delivery. I have all evidences. But for time being please refer Refer page 9 point 1.4 of this link
      http://www.cbec.gov.in/ub1112/dojstru2.pdf

      Home delivery or pick up was out of ambit of service tax regime in terms of TRU Letter No D.O.F. 334/3/2011-TRU, Dated 28-2-2011 vide which it was stated that “the levy is intended to be confined to the value of services contained in the composite contract and shall not cover either the meal portion in the composite contract or mere sale of food by way of pick up or home delivery.

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