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URGENT FBT on sales promotion

Navita (profession) (96 Points)

13 November 2007

can anybody tell that expenditure on purchase of leaflet (containing description,photo ,prices of the products) be consider for the purpose of the FBT under head sales promotion.

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9 Replies

CA. Vineet Grover (Chartered Accountant) (1538 Points)
Replied 13 November 2007

Exclusion to Sec 115WB(2)(D): -Being expenditure made by way of payment to any advertisement agency. -Expenditure on advertisement in any form, in any print including journals, catalogues, price list or electronic media or transport system -Expenditure on the holding of or the participation in press conference or business convention, fare or exhibition -Expenditure on sponsorship of any sport event or any other event organized by any government agency or trade association or body -Expenditure on any publication in any print or electronic media of any notice required to be published by or under any law or by an order of a court or tribunal. -Expenditure by way of advertisement by way of signs, art work, painting, banners, awnings, direct mail, electronic spectaculars, kiosks, hoardings, billboards, or by way of such other medium of advertisement. In terms of the said exclusions, purchase of leaflets is outside the purview of FBT.

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Manoj (CA) (19 Points)
Replied 15 November 2007

As per the provision relating to FBT and circular issued by CBDT , expenditure on purchase of leaflet (containing description,photo ,prices of the products) should not be considered for the purpose of the FBT under head sales promotion.

Vijay K. Agrawal (Service) (608 Points)
Replied 15 November 2007

this expenditure is in is advertisement in nature hence no fbt

Amit Sharma (article) (2677 Points)
Replied 27 December 2007

No its cannot be considered as FBT as sales promotion exclude advertisement of any kind.

anil (accountant) (22 Points)
Replied 20 February 2009

conveyance expense made for employee is taxable under FBT .but our expenes which atracted FBT is project expense then application tax . We are accounting expenses for NGO which working on project for Road adminstration . NGO's big part of expenses cover taxibilty under FBT such as Travelling, Food , hotel stay. Petrol Expense for own cars . plz reply application for NGO.

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Dinesh (Auditor) (66 Points)
Replied 28 February 2009

no.... cannot be

shantanu (B.com, ACA, LCS) (38 Points)
Replied 31 August 2009

HI,, just want to ask that is there FBT payableon Launching Expenses of particular project... like construction project and expenditure on it includes payment to caterers, Pandal contractors, Decorators.... as it includes upto some extent nature of Sales Promotion

Preeti (Accountant) (27 Points)
Replied 02 September 2009

Can anybody tell when can we get the FBT refund for the Assessment year 2008-09. Now its already 1 year passed and i got a news in the newspaper that govt. is refunding all pending refund within 2 months, as they have to pay the interest in pending payments.