Online Food Delivery to Get Costlier as GST Hits Delivery Charges

GST on food delivery charges rises to 18% from Sept 22, making Swiggy and Zomato orders costlier for frequent consumers.

Food delivery apps have become a daily choice for many Indians. Office workers use them on weekdays, while families depend on them during weekends. Swiggy, Zomato, and Magic Pin are among the most popular platforms.

From September 22, delivery charges will attract 18% GST, pushing costs higher. Customers already pay 5% GST on food orders, a system in place since January 2022. The new rule adds a direct tax burden on delivery fees, which platforms had already raised earlier this year.

For instance, a ₹10 delivery charge will rise to nearly ₹15 once GST and platform surcharges are added. This may look small for one order but frequent users will feel the pinch. Students, urban households, and office employees who rely on delivery services several times a week will face higher bills.

Analysts say this move could reduce order volumes and change consumer habits. Some customers may cut back on online orders or explore local alternatives. With delivery now an essential lifestyle service, the added GST will impact both household budgets and the growth of India’s food delivery market.

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