Applicability of GST on gifts and perquisites

This query is : Resolved

Quick Summary

If you've received gifts or perquisites from a company for achieving sales targets, and TDS has been deducted under Section 194R, you are liable to pay GST on these items. The value shown in your 26AS statement must be added to your taxable turnover for GST purposes, and the relevant GST paid accordingly.

Piyush

Piyush (Querist)
Follow

13 August 2025 Mr.X receiving professional fees from Company, on achieving sales target has received a gifts/perquisites. Company has deducted TDS via Section 194R and is reflecting in 26AS of Mr.X.

Is Mr. X is liable to Pay GST on the amount which is showing in 26AS u/s 194R.

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
Follow

13 August 2025 Yes, Mr. X is liable to pay GST on the value of gifts or perquisites shown in his 26AS u/s 194R. The value reflected in 26AS should be added to his taxable turnover under GST, and accordingly GST should be paid.

Message likes : 1 times

Dhirajlal Rambhia

Dhirajlal Rambhia (Expert)
Follow

23 September 2025 Good luck....

Message likes : 1 times

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now