I wanted to seek your advise, if considering the below situation, do I need to register for VAT/COT?:

I have been approached to operate a restaurant for a Club. Infrastructure is provided by the club which is the service floor and Kitchen. I have to only arrange for kitchen staff and service staff to prepare and serve the food to the club members and their guests. Billing will be done under the club name, and necessary tax will be collected by them. I will be reimbursed for the food bill the next day/ or once every week. My direct expenses are only the staff salary, raw materials and any other incidentals in running this business.

Given the scenario, I have already applied and recieved ST1 and ST2 certificates giving my home address as office address. Do I need to apply for VAT/COT as well? I'm expecting my turnover to be about Rs 70-80 lacs per year.

The club management is insisting that I file the VAT returns (though the billing is done under the club registered name), and once I submit the VAT returns papers to them, they will reimburse the amount to me which they have already collected from the members in the food bill.

Can I apply for VAT under my registered office address which is my residence?

Will that cause issue during the VAT Inspector's visit?

Do I need to raise Invoice to the Club to collect my revenue?

Is VAT or COT my best option, if I need to go for registration?

Please advise.

Posted 3 years, 10 months ago by Jay S



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Posted 3 years, 9 months ago by AMARNATH M

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