Vat on gift items given as free during festival season sales
This query is : Resolved
09 December 2012
Please any one can advice about the Karnataka VAT on Gifts given as free during festival season sales to customers. Whether the items given has free to be billed and taxed. Also please advice about the free gifts given to the walking customers in a retail show room for the lucky draws won by the customer.
Doraiswamy
Doraiswamy
10 December 2012
Mr D Natarajan,
A gift is not a sale. 'Sale' is defined in all VAT Acts as 'Transfer of property in goods for cash,defered payment or other valuble consideration'. Here gifts are the offers made without any coniderartion.Therefore it can not be included in sales value and no tax is to be charged on it.But,such offer of gifts should be on a policy declared in advance for promotion of products,clearance sale etc,by manufacturers or seasonal offerings on specific dates etc. Its genuineness is to be prooved......MJK
A gift is not a sale. 'Sale' is defined in all VAT Acts as 'Transfer of property in goods for cash,defered payment or other valuble consideration'. Here gifts are the offers made without any coniderartion.Therefore it can not be included in sales value and no tax is to be charged on it.But,such offer of gifts should be on a policy declared in advance for promotion of products,clearance sale etc,by manufacturers or seasonal offerings on specific dates etc. Its genuineness is to be prooved......MJK
Message likes :
2 times
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- ITC temporary reversal and reclaim
- Applicable TDS rate for sale of property in Nov 2024
- Inventory of finished goods
- GST Regis.
- Tds on building rent monthly
- Sale of property furniture sale
- Clarification on Documentation of Paid-Up Capital Contribution by Directors
- REGARDING 25 AS DATE OF PAYMENT AND DATE OF BOOKING
- RCM INVOICING FROM NOV-2024
- Individual capital equal to which assets of balance sheet
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- Regarding einvoice taken on nil rated sales
Trending Online Classes
CAclubindia
