Deduction u/s 80P(2)(a)(i) and 80P(2)(d) on bank interest remanded for AO's verification, including classification of compulsory investments and relat...
AAR held that non-monetary benefits/perquisites, including tour packages received by the applicant from a manufacturer for achieving sales targets, constitute a taxable "supply of services" in the course or furtherance of business. No exemption under Notification No. 12/2017-Central Tax (Rate) applies. The applicant is the supplier of sales promotion/business support services and the manufacturer is the recipient; accordingly, the applicant must raise a tax invoice on the manufacturer. For valuation, the value of service is the value of gifts/perquisites/tour packages as reflected in the TDS certificate under section 194R of the Income-tax Act. The applicant may issue invoices on a tax-inclusive basis in terms of rule 35 of the valuation provisions.
AAR held that non-monetary benefits/perquisites, including tour packages received by the applicant from a manufacturer for achieving sales targets, constitute a taxable "supply of services" in the course or furtherance of business. No exemption under Notification No. 12/2017-Central Tax (Rate) applies. The applicant is the supplier of sales promotion/business support services and the manufacturer is the recipient; accordingly, the applicant must raise a tax invoice on the manufacturer. For valuation, the value of service is the value of gifts/perquisites/tour packages as reflected in the TDS certificate under section 194R of the Income-tax Act. The applicant may issue invoices on a tax-inclusive basis in terms of rule 35 of the valuation provisions.
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