GST on AC, non-AC restaurants reduced to 5%
The GST Council on Friday reduced the tax rate on AC and non-AC restaurants to 5%, adding that they will not get Input Tax Credit (ITC) benefits. Hotels which charge room rent over â¹7,500 per day will continue to attract 18% GST with ITC benefits. Earlier, non-AC restaurants attracted 12% GST, while all other restaurants were in the 18% bracket.