i am superstokist of fmcg products i sell to distributors then for they complete target we give them incentive is gst applicable on giving incetive to registered/ unregistered dealer? and i recieved incetive from company is gst applicable on that too
Replies (3)
Guest
icentive is like commission yes gst is applicable on it
Like freebies in other segments like one pizza is free for 3 pizzas, Incentive also in the same category. GST has done away with this practice and tax is to be imposed on market value under valuation rules.
So in your case you too have to charge on the incentive so given. GST is applicable to both RD & URD dealers. In case if RD they can adjust it against output tax. This not so with URD
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