TaxTMI 
TaxTMI 
We have issued a scheme that if a distributors achieves sale of 10 lacs we will give him Air conditioner. co. is situated at Maharashtra and distributor is in Karnataka. if we buy AC from Karnataka with bill in the name of Company in Maharashtra can we claim credit in GST in Maharashtra.
Credit of GST for Airconditioner given for acheiving Target
03 Jan 2018 
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Input tax credit on goods given as gifts is not available, so ITC cannot be claimed for post sale incentives.
Input tax credit on goods provided as a post sale incentive or gift is not available. An air conditioner given to a distributor for meeting a sales target is treated as a gift or free supply and not as a deductible cash discount; accordingly ITC on the tax charged cannot be claimed. If tax is charged in one State, that tax will not be claimable in another State's returns. Bundled supplies may present a different treatment, but an independent giveaway requires reversal or denial of credit. Marketing expenses like advertising remain eligible for ITC. (AI Summary)
Input tax credit on goods provided as a post sale incentive or gift is not available. An air conditioner given to a distributor for meeting a sales target is treated as a gift or free supply and not as a deductible cash discount; accordingly ITC on the tax charged cannot be claimed. If tax is charged in one State, that tax will not be claimable in another State's returns. Bundled supplies may present a different treatment, but an independent giveaway requires reversal or denial of credit. Marketing expenses like advertising remain eligible for ITC. (AI Summary)