The Karnataka High Court has stayed a GST demand of Rs 50 crore raised on Himesh Foods (Pvt) Ltd, which runs the chain Mad Over Donuts. The company sells donuts and bakery products.
The GST authorities had raised the demand claiming the retailer had run a due.
There was a dispute over the GST rate payable on donuts, cakes and other bakery items on whether they attracted 5% rate under restaurant services or a higher rate leviable on products.
Justice SR Krishna Kumar, in an interim order on Friday, asked the GST authorities not to take any precipitative / coercive steps till the next date of hearing. He posted the case to June 6 for hearing.
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