GST ON BRAND PROMOTION

[SAJAN KUMAR]

We Purchase the Bag , pen and Copy with sticker of xyz (Brand) and distribute to our customer for increase our sales volume. We booked the expense in our book as a sales promotion and take the ITC, So as per you we are libel for take itc or not please give the advice

Mahadev

AI Summary

Input tax credit on free promotional giveaways restricted; ITC disallowed for gifts under statutory provision, adverts treated differently
ITC on promotional activities that are advertising expenses may be admissible, but goods given away free without contract qualify as gifts and ITC is disallowed under the statutory provision blocking credit for such items; administrative guidance is referenced for planning promotional schemes.