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Good News for Ludhiana Caterers: Now pay 5% GST for outdoor catering



October began with fabulous news for the catering companies in Ludhiana. The Goods and Service Tax which was earlier 18 per cent on catering including outdoor catering has been cut down to 5 per cent. On Tuesday, October 1, 2019, the government slashed 13% GST and reduced it to 5% for outdoor catering.

Elated by the reduction, the business owners welcomed the decision with a wide smile saying: “We are grateful to the GST Council for considering our long-pending request. This really is an excellent move for the industry, which will benefit all the businessmen in the field. The new GST rate (5%) will help caterers and tenthouse owners beat slump, as ever since 18% GST rate severely hit our outdoor catering business as it became a costly affair for both caterers and clients. As a result, people had been slashing the budget of their functions. However, after the reduction input tax credit will not be available to caterers in case they charge 5% GST on their sales, but I don’t think anyone will have any problems with it.”

Author at Ludhiana Live Media. Her work combine elements of magic realism, satire and historical fiction – Based in Ludhiana and India.