GST on Pizza: Latest Rates, Applicability and HSN Code

GST on Pizza: Latest Rates, Applicability & HSN Code 

Wondering how much GST you pay for that cheesy pizza slice? After the 56th GST Council meeting (effective 22nd September 2025), the tax treatment on pizzas has changed quite a bit, right from the pizza bread to its toppings and delivery charges.

Key Takeaways

• Pizza bread is now exempt from GST (0%).
• Pizza toppings, cheese, and sauces are now taxed at a reduced 5% rate.
• Restaurant dine‑in pizzas attract 5% GST at non‑specified premises and 18% GST at specified premises.
• Home delivery charges attract 18% GST.

Scope of Taxation on Pizza

Earlier, pizza taxation depended heavily on how it was made, sold, or supplied:

• Pizza bread attracted 5% GST,
• Cheese and toppings were taxed at 18%,
• Dine‑in and delivery rates varied based on location and category.

Now, the picture is clearer. Pizza bread is fully exempt (Nil rated), toppings and sauces come under 5%, while dine‑in rates stick to 5% or 18% based on where you eat.

GST Rate on Pizza and HSN Code (Post‑56th Council Meeting)

Note: specified premises are hotels where tariff of any room crossed Rs.7,500 per night in the previous financial year.

Advance Rulings Related to Pizza GST Rate

In one notable case, the Haryana Appellate Authority for Advance Ruling (AAAR) clarified that pizza toppings containing vegetable fat cannot be classified as cheese. They are to be treated as ‘food preparations not elsewhere specified’ (HSN 21069099), attracting an 18% GST earlier.
But post‑September 2025, as per the new Council decision, these items now enjoy a reduced 5% GST rate, providing major relief to both restaurants and suppliers.

How GST Differs for Dine‑In vs Delivery

Here’s a simple decoding:

• Dine‑in:
  • Non‑specified restaurants → 5% GST (no input credit).
  • Specified premises (luxury hotels/restaurants) → 18% GST (input credit available).
• Home delivery:
  • GST on pizza → same as restaurant rate (5% or 18%).
  • Delivery charge component → 18% GST separately.

Think of it as the taste being the same, but the “tax topping” depends on how and where you enjoy your pizza!

Conclusion

With the latest GST Council reforms, pizza taxation has become more digestible, quite literally and legally. Whether it’s dine‑in, take‑away, or delivery, understanding which layer attracts which tax helps restaurants comply better and keeps customers informed.

After all, decoding GST, much like enjoying a pizza, is best done slice by slice.