GST INPUT ON SALE PROMOTION

[neeta gupta]

If we buy t-shirts, key chains etc. and send this for free distribution along with supply for sale promotion. Can we get the input GST on purchase?

Also distribute some gifts under scheme, Can we use GST input?

AI Summary

No Input GST Credit on Promotional Gifts Like T-Shirts and Key Chains, Says GST Section 17(5)(h). A query was raised regarding the eligibility of claiming input GST on items like t-shirts and key chains purchased for free distribution as part of a sales promotion. The question also covered the distribution of gifts under a scheme. One response indicated that without a written contract, input tax credit (ITC) is not admissible as it would be considered a gift. Another response referenced Section 17(5)(h) of the GST law, stating that no ITC is available for such transactions.