The GST Council’s 56th meeting has clarified tax rules for food delivery. From 22 September 2025, local delivery services routed through e-commerce operators (like Zomato and Swiggy) will attract 18% GST, in addition to the 5% GST on restaurant food.

Restaurants such as Domino’s, which have their own delivery network, will continue to charge only the 5% GST on meals. This creates a price gap that could make direct orders cheaper for customers.

Industry insiders say delivery platforms may pass the higher tax burden to users by increasing delivery fees or food costs, estimating a hit of over ₹200 crore annually. This may revive older restaurant campaigns urging customers to “order direct” to avoid extra platform fees.

The move also formalises the tax structure that had long been unclear for e-commerce food delivery. For restaurants, it’s a boost; for aggregators, it could mean slower order volumes if users shift to cheaper direct channels.