JOIN USIt may no longer be the most-talked about term in the country (or on social media, which is what counts these days) but the repercussions of GST are far from over. These three letters are making their presence felt in all aspects of daily life but nowhere has the common man felt the pinch more than in his tummy.
Among the many gastronomic habits that had to be changed, ordering in is one. Confusion among the tax rates and increased prices are stopping people from getting takeaways, say Bengalureans.
Opining that ordering-in patterns have indeed changed a bit, Apeksha Naik, architect, says, “Because of my work schedules, I wouldn’t really want to cook in the evenings and so would rely on the online ordering-in facility from restaurants around my place. But right now, I have noticed that the restaurants don’t have a fixed GST rate; their taxes vary. Some restaurants charge around 5 percent while others would have around 18 percent.”
“Earlier, you would have a fair idea of what your takeaway would cost which is important when you are on a budget. But now, if I have friends over and we are ordering food, we are not very sure about how much we will have to pay.”
“I have stopped ordering in because of the increased taxes and instead prefer to visit the nearby pocket-friendly eateries. They may not be very fancy but they suit both my palate and wallet,” says Farhan Sharaf, a professional.
“Business, especially the takeaway segment, has been impacted,” says Jagmohan, co-founder and director of ‘Samaroh’. “Even though we are mostly absorbing the cost and have increased our prices by just Rs 3-4, people are not ordering in so much because of their perception that prices have drastically gone up in all restaurants after the advent of GST.”
Online food delivery platforms are also aiding in the process. “They have increased their commissions and this has also affected the orders,” he adds.
But the biggest factor seems to be a lack of awareness about the subtle nuances and variations of this taxation process and that is posing a challenge for the takers and providers of food alike.
“What many people are not aware of is that there is a differential tax rate for the same items,” explains Meenu Nair, a student.
“The same item will be charged at different rates, depending on whether you have it at the counter, sitting at a table or order it home. The levy in many fast-food chains is the same, irrespective of whether you have it there or order a takeaway. But for other air-conditioned restaurants, you will end up paying a steep 18 percent tax on the AC facility, even if you order in,” she says.