Page 191 - GSTL_7th May 2020_Vol 36_Part 1

2020 ] IN RE : MANGALDAS MEHTA AND CO. LIMITED 149
Opinion in relation to query 6 :
The applicant urges that the Low Category rooms are sold at a tariff
of Rs. 3,400/- which includes charges far room stay and breakfast.
The breakfast is offered as inclusion and invoice would reflect two
charges. Based on the tariff slab, liability to pay GST on room stay
will be 12%. An illustration would better explain the query of appli-
cant.
Illustration 4 :-
Invoice for low category rooms :

Sr. Particulars Amount Remarks
No. (Rs.)
1 Room Stay Plus Ser- 2,400
vice Charge
2 Breakfast 1,000 Optional additional Service
3 Heritage Walk 800 Optional additional Service
4 Airport Pickup and 1,000 Optional additional Service
drop
Total 5,200

Also Heritage Walk and pick-up drop facility being additional services not con-
nected with tariff would attract 18% G.S.T. However, as the applicant charges 5%
GST on restaurant services and the applicant shows a separate item as charges
for breakfast it must be ordered to be liable to pay 5% GST on breakfast and not
12% GST.
4. Statement of facts of the case submitted by applicant vide Annexure
to Form GSTR ARA-01 :
(1) The applicant runs a boutique hotel as well as restaurant.
(2) The applicant charges tariff for room stay from the customers based
on the seasons.
(3) The applicant is charging 18% GST on restaurant services.
(4) The applicant charges rate of GST on room stay as per the slabs
provided on declared tariff.
(5) The invoice raised depicting money charged from the customer of
the applicant comprise of the following :-
 Room stay
 Service charge
 Breakfast
 Airport pickup and drop
 Extra Bed
 Laundry services
 Lunch/Dinner
 Heritage Walk
(6) In many cases, the sum total of the items stated in Point No. 5 ex-
ceeds Rs. 7500/-.
GST LAW TIMES  7th May 2020  191