Creator: TheProTalks
2325 Points
Joined January 2016
I beg to differ here, As per my interpretation GST will not be applicable on free supplies, Have a look at the following provision
The charging section, Section 9 of the CGST Act imposes a tax on supply. Supply has been defined in Section 7 of the CGST Act as 'all forms of supply of goods or services or both such as sale, transfer, barter, exchange, licence, rental, lease or disposal made or agreed to be made for a consideration by a person in the course or furtherance of business'. A supply is a supply within the meaning of section 7 of the CGST Act only when 'it is made for a consideration'. If some activity is being done, without a consideration, it is not a supply within the meaning of section 7 of the CGST Act, and hence no tax is attracted under section 9 of the CGST Act. Thus, no GST is payable on free supplies of goods or services or both.