Page Contents
Ans: It is a Normal Practice among particular sections of industry & trade, Like that, pharmaceutical firm which often provide drug samples to their dealers, stockists, medical practitioners etc. without cost of any consideration. In that kind of cases, the supplier should not take Input Tax Credit as per sub section 5 of section 17 Central Goods and Services Tax 2017 & also above said transactions will not be considered to be supply as per schedule-I or the supplier should take Input Tax Credit & it will be considered to be supply as per covered under Schedule I of the Central Goods and Services Tax 2017 (‘CGST, 2017’) (Circular no. 92/2019)
Ans: With one exception that gifts from an employer to an employee that are valued at no more than INR 50k in a FY are not considered to be delivery of goods, services, or both. by an agent to his principal, who undertakes to accept the goods on the principal’s behalf.
Ans: As per Section 7(1)(a) of Central Goods and Services Tax 2017, the goods or services which are supplied free of cost (without any consideration) shall not be treated as “supply” under Goods and Services Tax (except in case of activities mentioned in Schedule I of the Central Goods and Services Tax 2017).
In cases where there is a “Buy One, Get One Free” offer, one item is given away for free and without any conditions attached. In reality, there are multiple distinct supplies being provided for a single price rather than a single delivery of free items. At the most, it can be regarded as offering 2 things for the price of one.
Taxability of such supply will be dependent upon as to whether the supply is a composite supply or a mixed supply and the rate of tax shall be determined as per the provisions of Section 8 of Central Goods and Services Tax 2017.
MCA Changes in Indian Company formation- 2026 A series of reforms measures put forth by the Ministry of Corporate Affairs… Read More
Complete Guide to Reverse Charge Mechanism (RCM) under GST Under Goods and Services, tax is generally paid by the supplier…But… Read More
Allowances & Perquisites under Income‑tax Rules, 2026 for OLD tax regime The Income‑Tax Rules, 2026, notified by the Central Board… Read More
GST Implications on Sale of Old Vehicles vis‑à‑vis Sale of Other Used Capital Goods Some Tamil Nadu AAR judgments that… Read More
Major Changes Proposed & Impact of Corporate Laws (Amendment) Bill, 2026 A major reform initiative, the Corporate Laws (Amendment) Bill,… Read More
Product brand value with artificial intelligence video editing tool. What’s an artificial intelligence video editing tool? An artificial intelligence video… Read More