The restaurant added a service charge. Do I have to pay it?
Simple answer
No. Service charge is voluntary. Under the CCPA's 2022 guidelines, upheld by the Delhi High Court in 2025, a restaurant cannot add it to your bill by default, collect it under another name, or refuse entry or service if you don't pay.
Real-life examples
Gurpreet's dinner bill in Pune already had a 10% service charge added. She asked the manager to remove it, which she is entitled to do. When he refused, she paid, kept the bill and complained on 1915.
Ayesha's bill in Bengaluru showed an 'LPG charge'. In March 2026 the CCPA said such charges added by default are not allowed either, because fuel and running costs must be built into menu prices.
Rahul liked the service and chose to leave a tip. That is fine. The law only stops charges that are added without asking or forced on customers.
What should you do?
- 1Check the bill before paying. Ask staff to remove any service charge or similar charge added by default.
- 2If they refuse, keep the bill or a clear photo of it. Note the restaurant's name, address and the date.
- 3Call 1915 or use the NCH app to complain, attaching the bill.
- 4You can also complain to the District Collector or the CCPA, or file a case on e-Jagriti to get the money back.
Exceptions & limits
- A tip or service charge you choose to pay is fine. The rule only stops it being added by default or forced on you.
- Restaurants can set their own menu prices. By default they may bill only the menu price plus applicable taxes, nothing extra.
Official legal reference
CCPA Guidelines on Levy of Service Charge in Hotels and Restaurants (4 July 2022)
No service charge by default or under another name; it must be voluntary; no denial of entry or service; not to be added to the bill and taxed with GST.
Consumer Protection Act, 2019 — Section 2(47)
Defines unfair trade practice. The CCPA has treated adding service charge to bills by default as one.
National Restaurant Association of India v. Union of India (2025)
Delhi High Court upheld the CCPA guidelines and held that a mandatory service charge is contrary to law.
CCPA Advisory on 'LPG charges' in Hotels and Restaurants (25 March 2026)
'LPG', 'gas' or similar charges cannot be added by default; the menu price plus taxes is the final price.
Where to get help
National Consumer Helpline
Free pre-litigation help to resolve complaints with sellers and service providers.
e-Jagriti (Consumer Commission e-filing)
File a case before the District, State or National Consumer Commission online.
Source & status
- Applies to
- All of India
- Law in force since
- 4 Jul 2022
- Legal review
- Draft — awaiting lawyer review
Educational information, not legal advice for your case. Exact facts and the law that applies matter — speak to a lawyer before acting.