When you makan at a restaurant, the restaurant will almost definitely hit you with a 10% service charge on actual F&B that you consumed.
Let us take a simple example.
2 steaks @$25 $50.00
A bottle of Cardonnay $40.00
subtotal (1) $90.00
10% service charge $9.00
subtotal (2) $99.00
How much is the GST payable?
Answer – 5% of ($90.00 + $9.00) = $4.95
Mrs Lee, Director of Corporate Communications, IRAS said GST is applied on the final value of goods or services (including any indirect taxes/duties) consumed in Singapore.
P/S – For those who have gone to a movie recently – can share how they calculate GST for your movie ticket?
Reference – Straits Times – Inbox – page 45, Nov 19, 2006.