Page 193 - GSTL_7th May 2020_Vol 36_Part 1

2020 ] IN RE : MANGALDAS MEHTA AND CO. LIMITED 151
for room stay plus service charges. The services of breakfast, airport pick up &
drop, extra bed, laundry, lunch/dinner and heritage walk are optional and one
may or may not choose to avail these other amenities/additional services. Ac-
cordingly, the Applicant collects separate prices for each service availed by the
guest in the invoice issued by them, upon check out from the hotel. Hence, these
services cannot be said to be naturally bundled and there is no composite supply.
Each service is unique, different, not inter dependent on each other and is op-
tional. The Notification No. 11/2017-Central Tax (Rate), dated 28-6-2017, as
amended provides different rates for different types of services. The rate of GST
for each distinguished service provided by the Applicant shall be determined
according to the respective entries of said Notification.
‘Accommodation, food and beverage services’:
9. We find that the Notification No. 11/2017-Central Tax (Rate), dated
28-6-2017, as amended issued under the Central Goods and Services Tax Act,
2017 (hereinafter referred to as the ‘CGST Act, 2017’) and Notification No.
11/2017-State Tax (Rate), dated 30-6-2017, as amended issued under the Gujarat
Goods and Services Tax Act, 2017 (hereinafter referred to as the ‘GGST Act,
2017’) provides different rates for different types of services under ‘Accommoda-
tion, food and beverage services’ of Heading 9963. The part of the said Sr. No. 7
of the Notification No. 11/2017-Central Tax (Rate), dated 28-6-2017, as amended
[up to 14-11-2017 vide Notification No. 46/2017- Central Tax (Rate)], relevant for
examining the present issue, is as follows :

Sl. Chapter, Description of Service Rate Condition
No. Section or (per
Heading cent)
(1) (2) (3) (4) (5)
7 Heading (i) Supply, by way of or as 2.5 Provided that
9963 part of any service or in any credit of input tax
(Accom- other manner whatsoever, of charged on goods
modation, goods, being food or any oth- and services used
food and er article for human consump- in supplying the
beverage tion or drink, where such service has not
services) supply or service is for cash, been taken
deferred payment or other [Please refer to
valuable consideration, pro- Explanation No.
vided by a restaurant, eating (iv)]
joint including mess, canteen,
whether for consumption on
or away from the premises
where such food or any other
article for human consump-
tion or drink is supplied, oth-
er than those located in the
premises of hotels, inns,
guest houses, clubs, campsites
or other commercial places
meant for residential or lodg-
ing purposes having declared
tariff of any unit of accom-
modation of seven thousand
GST LAW TIMES  7th May 2020  193