QUESTION

My client is providing Food items prepared at home and selling online through swiggy and zomato and also on order received from clients. The items are:
1 [1902] Macaroni 2 [1902] Cannelloni 3 [1902] Spaghetti 4 [1902] Ravioli 5 [1902] Cooked pasta 6 [1902] Lasagne 7 [1902] Noodles 8 [1902] Pasta 9 [1902] Couscous 10 [1902] Gnocchi
1 [1905] Biscuits 2 [1905] Bulgar wheat 3 [1905] Wafers containing chocolate 4 [1905] Sweet biscuits 5 [1905] Wafers 6 [1905] Preparations for infant use 7 [1905] Waffles 8 [1905] Corn flakes 9 [1905] Waffles containing chocolate 10 [1905] Pastries 11 [1905] Cakes
Kindly let me know the rate of tax and whether the HSN codes are correct ? Do we have to charge 18% and take set off ? Do we have to charge 5% without set off ?

ANSWER
  

Facts of the case: HSN codes and rates of tax of following Food items prepared at home and selling online through swiggy and zomato.

Conclusion: Rate of tax and HSN codes are as follows:

For deciding about a tax scheme that is good to be followed, You have to make a cost and benefit analysis by calculating net tax liability to be discharged in cash as follows.

Turnover * 18% minus ITC with turnover * 5% 

As a general rule, you should go for 5% without ITC because in food products most of the inputs are without GST and the value addition is very high. (Reply dt. 04/02/2021)