Govt. Slaps 18% GST on Swiggy’s ₹25 Rain Fee: Consumers Cry Foul
The ‘rain fee’ is an additional compensation for gig workers to deliver items bearing the hardships brought about by rain.
“Rain Rain Go Away, Stay Any Longer and the Government Will Tax Me Everyday”
Food delivery giant Swiggy’s newly introduced “rain fee” has stirred a storm of its own. Users noticed that the ₹25 surcharge to aid delivery associates for deliveries during heavy rains attracts an additional Goods and Services Tax (GST) of 18%. This additional levy takes the effective charge to ₹29.50, a screenshot shared by a user quickly going viral and prompting consumers to question the validity of such a levy.
Also Read: GST DeptUncovers Massive ₹127 Crore Tax Evasion in Kerala Bar Hotels
The ‘rain fee’, an initiative by Swiggy compensates delivery partners for braving adverse weather conditions to ensure that orders are delivered despite continued hardships due to flooded roads, waterlogged conditions and traffic troubles.
The levy usually appears on bills alongside other heads such as restaurant GST, packaging charges, platform fee and surge charges. Although Swiggy has maintained that the fee is a rider-support initiative, the recent move by the government to conduct GST reclassification of e-commerce delivery charges means that such surcharges are also treated as taxable services.
Also Read: CESTAT RestoresLicence with Reduced Penalty in GST-linked Export Fraud
X users were quick to lampoon the situation. One viral post quipped that “Lord Indra has been brought under GST”, reflecting widespread frustration at how far the tax net has spread.
<blockquote class="twitter-tweet"><p lang="en" dir="ltr">After historic GST reforms, even Lord Indra has been brought under the tax net.<br><br>Now when it rains, you get ₹25 Rain Fee + 18% GST = ₹29.50 😂<br><br>Next up:<br>👉Sunlight Convenience Fee 🌞<br>👉Oxygen Maintenance Charge 💨<br>👉GST on Breathing, Pay as you inhale <a href="https://t.co/JdtHfr715G">pic.twitter.com/JdtHfr715G</a></p>— Ashish Gupta (@AshishGupta325) <a href="https://twitter.com/AshishGupta325/status/1970159115352821896?ref_src=twsrc%5Etfw">September 22, 2025</a></blockquote> <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
Others questioned whether the fee was indeed passed to riders or absorbed by the company, pointing out that if the compensation was a form of direct compensation, then there should be no applicability of GST on the same. However, legal experts note that since the compensation is being channelled through the platform and not directly to riders, GST becomes applicable by law.
The development comes a little over a while after the GST Council rolled out “GST 2.0” reforms, cutting rates on certain essentials to ease consumer burdens. Ironically, even as kitchen staples got cheaper, netizens highlighted that a simple food order has become more expensive with rain surcharges and platform fees now being explicitly taxed.
Also Read: GST 2.0:D-Mart’s Pre- and Post-GST Invoices on Sunfeast Marie Reveal Revised Pricing
The rain fee debate has spilled into a broader conversation about transparency in platform billing and fair compensation for gig workers. For now, the ₹25 surcharge plus GST remains.
Support our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates
