Tax on gift given to customers through lucky draw

Jasmin (Owner) (24 Points)

08 June 2014  

Hi,

 

I am a business owner from Gujarat and we run a jewellery business here. We have created a lucky draw system for our loyal customers and will be offering five prizes between 60,000 to 10,000. Cumulative amount of all the gifts will be 1,10,000. I wanted to know how do I calculate the TDS or any other gift tax on this gift amount. How should I file that in my returns. Please guide me and revert in case if you need any other details.

Thanks

Jasmin