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Zomato, Swiggy to Attract GST, Ordering Food May Be Costlier Soon, Say Sources

You have to shell out more for ordering food via delivery application such as Swiggy and Zomato. Goods and Service Tax (GST) Committee on Friday approved the proposal of bringing treat food delivery apps such as Zomato and Swiggy as restaurants, sources told CNBC TV18. There will be a 5 per cent GST on supplies made by them.

The food delivery apps will have to collect and deposit GST with the government, for deliveries made by them. If the companies may pass on the additional charge to the customers, ordering food is going to become expensive. The changes is going to come into effect from January 1, 2022 to allow e-commerce operators to make software changes, CNBC TV18 reported.

Currently, online bills generated by food aggregators already have a tax component in it. However this taxed amount is paid back to the restaurant partners who are then expected to pay this amount to the government.

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