Difference between Tax Service and Service Charge at a Restaurant
When you are eating at a restaurant, of course there are taxes listed on the bill. Not only local taxes, but also services.
Are you a careful customer? When you eat at a restaurant, of course, your bill will include more costs that are charged to the buyer.
For example, when you order $20 then you will have to pay around $22 to $24 which is intended for service tax.
When eating at a restaurant, not only taxes are levied by the restaurant, but also service collections. Quoted from NDTV 03-01, a service charge is a bill that is addressed to customers, even though they are paid around 5% to 20% of the buyer's bill. of course not apart from the service they receive. This amount is a kind of "forced tip" that must be paid by consumers.
This service fee is an additional tariff that has been previously determined in the context of services and this service fee will become the property and part of the income for workers which is included in the salary component.
In Indonesia, the usual service rate is 5%, but it depends on the company that charges a certain percentage of the tariff for its services. For this service, the maximum tariff is 10% for the services provided.
Service chargers should be distributed to all restaurant staff. This aims to keep employees motivated and push them towards better service standards.
While the service tax is a government tax. This is a tax that is imposed by the service provider but is borne by the customer. This is a mandatory inclusion in the bill.
However, there are several food outlets that have been included in the food price tax so that what you buy will be paid for.
Service tax by the government of each country is different in India for example 14%.
While in Indonesia, it is usually 10% to 20%A
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