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
- Inventory of finished goods
- Tds on building rent monthly
- REGARDING 25 AS DATE OF PAYMENT AND DATE OF BOOKING
- Sale of property furniture sale
- RCM INVOICING FROM NOV-2024
- Disallowance of Section 43B(h) to sez units
- Clarification on Documentation of Paid-Up Capital Contribution by Directors
- GST Regis.
- Can we claim ITC of Feb-2024 in the month of November-2024 which was not claimed by oversight
- Confusion around Form 26QB fields
- As per schedule III of balance sheet how to pass journal entry
- Is correct way to find out capital of individual on 31st March
- 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?
Trending Online Classes
CAclubindia
