Overview

• The GST Council’s move effective September 22 brings local app deliveries under Section 9(5), making delivery fees taxable at 18% and the platform responsible for the output tax.
• A widely shared X post by Ashish Gupta showed a Swiggy bill with a Rs 25 “rain fee” and Rs 4.50 GST, highlighting how the new tax appears on customer bills.
• Users questioned applying GST to add-ons described as support for delivery partners, while some defended such fees as incentives during bad weather.
• Brokerage estimates cited in coverage indicate the change adds about Rs 2 per Zomato order and Rs 2.6 per Swiggy order based on average delivery fees.
• Quick-commerce delivery was largely already taxed, limiting the impact there, with Instamart’s smaller fee implying around Rs 0.8 in GST.