Food facts

Imagine you’re on a long train journey maybe from Delhi to Patna and you place an order via your train food delivery app so your meal arrives at your seat. Starting September 22, 2025, your final bill may look a little heavier. That’s because sweeping changes to the Goods & Services Tax (GST) rules are altering how charges like delivery fees are taxed, including for food delivered on trains. If you frequently order food in transit. The food delivery bill has changed and you need to know the changes.

 

 

As we know New GST Rules have been changed and the food delivery bill also varies from another. Let’s unpack what’s changed, how it affects you, and what you can do about it.

 

 

What exactly are the new GST rules and on food delivery Bill: – 

 

Here’s what the recent GST Council decisions entail:

 

GST slabs simplified: Many items that earlier fell under variable rates (12% or 18%) have been rationalized into two main slabs, 5% and 18%.

 

Delivery charges taxed at 18%: For any local delivery services through e-commerce or food delivery platforms (Zomato, Swiggy, etc.), the delivery fee will now attract 18% GST under Section 9(5) of the CGST Act. This includes delivery to your doorstep, and by extension, apps delivering to your train seat. Get the concession on Food delivery bill. 

 

Restaurant/food service remains taxed at 5%: The base GST on the cost of food supplied by restaurants through these platforms remains 5% without input tax credit (ITC).

 

Platform fees: Apps are also increasing platform or convenience fees, and those fees are also possibly subject to the new rules. Sometimes included in delivery charges, sometimes separate. These could go up.

 

Who bears the cost: Delivery platforms are debating whether to absorb the extra tax burden, reduce delivery partner payouts, or pass it on to customers. Most likely, you, the consumer, will see a small increase.

 

How do existing rules apply to train food delivery?

 

Since train food delivery via apps is a bit of a special case, here’s how railway catering and train food delivery are taxed currently:

  • Food supplied in trains or at railway platforms (catering services) generally attract 5% GST without Input Tax Credit (ITC) if it’s under the IRCTC or similar services for static units or platform units.
  • But for premium trains (Rajdhani, Shatabdi, etc.), or for static units that have air-conditioning or central heating, or mobile catering (on-board), the rate can be 18 with full ITC.

So, Order food in train app that brings your meal to your seat (especially if you order by RailRestro app) will need to see how they fall. They are static service or mobile, AC or non-AC, premium service or standard, etc. Those distinctions may decide whether certain portions of your Food delivery bill are taxed heavily or lightly.

 

What increases are you likely to see in your train food app bill?

Let’s break it down, step by step, to see how much more you might pay. I use hypothetical numbers to illustrate; actual app charges will vary.

 

 

ComponentPrevious GST (approx.)New GST / Treatment after Sept 22, 2025Potential Increase to You
Cost of food (meal price)Often 5% (food service via restaurant/ECO)Remains ~5% for most train delivery apps (if treated as restaurant service)Mostly unchanged for base food cost
Delivery charges / delivery feeSometimes zero or lower tax due to ambiguity; some platforms may have paid or not treated delivery fee under taxable segmentNow explicitly 18% GST on delivery fee under Section 9(5) of CGSTDelivery fee portion of bill goes up  maybe a few rupees per order depending on how far and how expensive the delivery is
Platform / service or convenience feeSome platform fee included; tax may have been different earlier or bundledTaxable under the new framework; may be increased or restructured to account for GST burdenSlight uptick in platform fees; maybe Rs 1-5 more per order or more, depending on base platform fee
App “seat delivery” premium (if applies for your train)Might have been treated as part of service earlier under “catering / bundled service” ratesThis premium may also attract the delivery-fee GST or separate platform service fees GST

 

Why these changes? What motivated the government

 

  • Closing loopholes / clarifying ambiguity: Earlier, there was confusion and disputes over whether delivery charges collected by platforms are taxable, especially when delivery is done by gig workers or third parties. The new rules clarify that local delivery services via e-commerce / food delivery platforms are taxable under Section 9(5).
  • Rationalization of GST slabs: To simplify the tax system, make taxation more predictable, and unify various rates into broader slabs (5% & 18%), thereby reducing disputes and litigation.
  • Fiscal revenue: With the growth of food delivery apps and volume of delivery charges, this is a meaningful source of tax revenue. Platforms are projected to face hundreds of crores rupees in added annual GST burden.

 

How big is the likely financial impact?

 

Here are some numbers and estimates:

  • Analysts expect platforms like Zomato and Swiggy to face an additional financial hit of ₹180-200 crore annually due to the new GST on delivery fees.
  • On individual orders, for everyday users: the increased cost per order may be small, often just a few rupees. For example, Morgan Stanley estimates Rs 2 per order extra for Zomato, Rs 2.60 for Swiggy, depending on the delivery charge base.
  • For train food delivery apps, depending on how far your seat is, how premium the service (AC train vs non-AC, premium meal vs basic), the delivery fee increment might add more, but still likely in that low double-digit rupee range.

What does this mean specifically for train food delivery apps?

 

Since you’re ordering food delivered to your train seat, via a train catering service or a third-party app that partners with IRCTC or railway vendors, here’s how your bill may change:

 

  1. Delivery fees will include 18% GST: So if previously you saw a fee of ₹20 or ₹30 for delivering food to your seat, that fee will now be subjected to 18% tax. That could make the fee ~₹3-₹6 more.
  2. Food cost remains taxed at ~5%: Unless your type of service is considered premium or falls under higher GST due to AC/travel class or extra amenities. The base food price will not jump dramatically due to GST alone.
  3. Platform/commission/service fees (if the app charges one beyond the food + delivery) may also increase, either due to extra tax or to compensate for the tax platforms must pay. You may see small hidden surcharges or “service fee” line items being tweaked.
  4. Meal categorization matters: If the meal is “trampered” or “mobile catering / pantry car” vs pre-packaged, or has AC service involved, or if the train class is premium, then the GST rate on parts of the service might be different (higher). For example, in some cases, IRCTC’s on-board catering in premium trains is taxed at 18% with full Input Tax Credit.
  5. Ticket classes & service provisions may influence GST on delivery: For example, whether your seat is in an AC class or whether food is simply delivered or there is additional service (packaging, premium quality, etc.), might affect whether parts of your order attract higher GST.

 

What action can you take (as a consumer) to minimize the impact or at least understand better?

 

  • Check the breakdown: When you place a train food delivery order, look at how much is food cost vs how much delivery + service fee. Then check the GST line item. Some apps may show separate GST for delivery/service. If not, raise a query or check customer support policies.
  • Compare premium vs standard options: If premium options include extra service or faster delivery, they may have higher delivery fees or service charges, which means higher GST. Choosing a standard delivery or less “premium packaging” might reduce the delivery fee component, hence reduce extra tax on Food Delivery Bill. 
  • Use subscription/loyalty programs if available: In some cases, food delivery apps offer subscription plans where delivery fees are lower or waived. The new GST rules may affect even those, but frequent users often enjoy higher benefits.
  • Pre-book / planFood in Trainis the best choice and get it delivered to the next station or opt for static catering services such as RailRestro app that delivers food right to your train seat. Sometimes statics or platform vendors have simpler or lower GST regimes.
  • Stay informed on train class rules: For example, in premium trains like Rajdhani or Shatabdi, or on AC coaches, certain catering services already attract 18% with ITC. If providers upgrade your service or add extras (packaging, AC staff, etc.), expect higher charges.

 

What to expect in terms of cost increases?

 

If you order food worth ₹250 for your train journey:

  • Meal cost = ₹250 + 5% GST = ₹262.50
  • Delivery fee (say ₹30) + 18% GST on that = ₹35.40 (so delivery portion becomes ~₹5.40 more)
  • Total = ~₹297.90 instead of ~₹280–285 (depending on earlier implicit costs)

 

If platform fee or service fees are included, those may add more in small increments. Train food users will likely see bills going up by </span>~5-8% or more depending on how much of their order is delivery/service fee vs food cost.

 

But there are some good news/reliefs too

 

  • Many packaged foods now have reduced GST rates, dropped from 12–18% to 5%.
  • Ordering packaged items can make your train food bill cheaper.
  • Simplified GST slabs reduce confusion, hidden charges, and improve billing transparency.
  • For frequent travellers, loyalty/subscription models might provide better value under the new regime.

 

What this means for train food delivery apps (the business side)

 

  • They have to update billing systems to clearly show separate GST on delivery fees.
  • They must comply under Section 9(5) of CGST Act, explicitly collect and remit tax.
  • Margins may shrink unless they adjust delivery partner payouts or increase fees.
  • To remain competitive, apps might offer promotions, waive platform fees, or reduce delivery fees for a while.

 

What further clarifications or caveats to watch out for

 

  • Interpretation by different railway zones / private vendors: Some railway catering may already have special rates; apps partnering with IRCTC may have different costs. Always see whether you’re ordering through an IRCTC food portal/e-catering or a private aggregator.
  • Input Tax Credit (ITC): For some services, especially in premium trains or AC coaches, ITC may apply. That affects who ultimately bears the cost.
  • Whether delivery is considered part of “restaurant service” or a distinct “delivery service”: Under the new rules, delivery is distinct and taxed separately if done via platforms. That means even if the food portion remains taxed at 5%, the delivery portion will attract 18%.
  • State differences: Even though GST is central/regional, some implementation, additional state-level compliance or fees may vary.

 

Should you expect your train food bill to go “skyrocketing”?

 

Probably not skyrocketing, but definitely a modest increase. Because:

  • The food cost (which is the main chunk of the bill) largely remains under 5% GST for standard restaurant-style supply.
  • The delivery fee portion is smaller, but that’s where the 18% tax bites.
  • Extra costs (premium meals, packaging, AC service, etc.) will make the increase more visible.

Frequent orders or higher-end meals, the cumulative effect could be noticeable.

 

How train food apps can win customer trust (and maybe traffic for your app)

 

Since you want your content / your app to attract users regularly, here are waystrainfood delivery app could use these changes to their advantage and how you could write content that draws traffic by helping users understand and navigate the change:

 

Transparency in billing: Show “Delivery fee + GST (18%)” clearly. Make it easy to see what you’re paying for. Blogs or FAQs explaining the breakdown build trust.

 

Cost-comparison tools: You could provide a calculator or estimator: “If your delivery fee is ₹30, here’s what you pay now vs before.” That helps users feel empowered.

 

Promos / special discounts for train delivery: Apps may waive or reduce delivery fees for certain trains or routes as people adjust to GST increases.

 

Localized content: Write train-route specific content e.g., “GST impact on Delhi-Howrah train food delivery”, or “AC class vs sleeper class meal GST differences” these will attract people searching for those exact routes.

 

Final thoughts

The new GST rules starting in September 2025 are a mixed bag for train food delivery customers. You don’t have to worry about a big spike on the meal cost if that remains under a 5% slab. But you will see higher delivery and service fees because of the new 18% GST on those. Apps might adjust either by absorbing some costs or finding efficiencies but for now, expect your train Food Delivery Bill to inch up a bit.

If you’re someone who order food in train often, keeping an eye on delivery fees, choosing standard options, using subscriptions, and knowing your coach class can help you save. Train food delivery apps, being transparent, offering promotions, and producing content that helps customers understand the changes. 

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Author: Shivani Prakash