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Industry deep-dive · Food & Beverage

FSSAI + GST + restaurant compliance

F&B is one of India's most-regulated retail sectors. FSSAI is non-negotiable (Basic / State / Central), GST treatment varies (5% standalone restaurant, 18% if attached to high-tariff hotel, 5% on ready-to-eat with caveats), Music license (PPL + IPRS) for ambient music, Aggregator TDS u/s 194-O for Swiggy / Zomato sellers. FilingLab handles FSSAI Central licensing for cloud kitchens, restaurant chains, and packaged food makers.

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What\'s unique about Food & Beverage

The Food & Beverage compliance overlay

1

FSSAI tier selection

Basic (≤₹12L), State (₹12L-₹20cr), Central (₹20cr+ or pan-India). Restaurants almost always start State.

2

Restaurant GST

5% (no ITC) standalone. 18% if attached to hotel ≥ ₹7,500/night. Composition scheme 5% available for turnover ≤ ₹1.5 cr (single state, no inter-state).

3

Aggregator TDS

Swiggy, Zomato, Dunzo deduct 1% TDS u/s 194-O above ₹5 lakh annual sales. Reflects in your 26AS — reconcile monthly.

4

Music + Fire NOC

Most restaurants need PPL + IPRS music licenses, Fire NOC, occupancy NOC. Skipping these = closure on first inspection.

FAQ

Cloud kitchen — same compliance as restaurant?

Mostly yes — FSSAI + Trade License + Fire NOC + GST. Skip Liquor + Music if no on-premise dining. Most cloud kitchens need State FSSAI.

Composition for restaurant?

Yes at 5% (CGST 2.5% + SGST 2.5%) without ITC. Single-state only. Cannot supply on inter-state aggregators (Swiggy, Zomato cross state lines).