Outdoor Catering Services New GST Rate in India
From weddings and corporate events to birthday parties and festivals, outdoor catering plays a major role in Indian celebrations. But do these services attract GST? If so, how much? This blog simplifies the outdoor catering services GST rate, when it applies, and how it differs from indoor dining or restaurant services.
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What Is Outdoor Catering?
Outdoor catering refers to food services provided outside the premises of the caterer, usually at an event venue like:
- Marriage halls
- Banquet lawns
- Corporate offices
- Community centers
- Private residences
Since it’s considered a composite supply (food + service), it attracts a separate GST rate under hospitality services.
New GST Rate on Outdoor Catering Services in India
The Government of India is updating GST rates effective after 22 Sep 2025. Below are the expected new GST rates for Outdoor Catering Services by business type (no compensation cess).
| Catering Service Type | SAC Code | New GST Rate |
|---|---|---|
| Outdoor catering (non-restaurant) | 9963 | 18% |
| Outdoor catering (restaurant-based vendor) | 9963 | 5% (no ITC) or 18% (with ITC) |
| Composite catering contracts (weddings, events) | 9963 | 18% |
Old GST Rate on Outdoor Catering Services
(Old GST Rates – Applicable Until 21st September)
| Catering Service Type | SAC Code | Old GST Rate |
|---|---|---|
| Outdoor catering (non-restaurant) | 9963 | 18% |
| Outdoor catering (restaurant-based vendor) | 9963 | 5% (no ITC) or 18% (with ITC) |
| Composite catering contracts (weddings, events) | 9963 | 18% |
GST Rate on Catering Services vs Restaurant Services
| Service | GST Rate | ITC Available? |
|---|---|---|
| Restaurant dine-in | 5% | No |
| Restaurant takeaway/delivery | 5% | No |
| Outdoor catering (events/weddings) | 18% | Yes |
Who Should Charge GST on Outdoor Catering?
The following service providers must charge GST on outdoor catering:
- Catering companies
- Wedding planners offering bundled food services
- Hotels providing offsite food packages
- Freelance caterers (if turnover exceeds ₹20 lakh annually)
They must be registered under GST , use SAC code 9963 , and charge 18% GST on all invoices. Returns like GSTR-1 and GSTR-3B must be filed regularly.
Input Tax Credit for Outdoor Caterers
Caterers can claim Input Tax Credit on:
- Raw ingredients (vegetables, grains, spices)
- Packaged water and beverages
- Tents, tables, and décor if billed separately
- Staff wages from manpower vendors
- Transport, fuel, and equipment rentals
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Understanding the gst on outdoor catering helps event organizers, caterers, and even clients plan better. Whether it’s a corporate lunch or a wedding feast, GST compliance is a must—and knowing the rate structure ensures transparent pricing.
