Gift to employees

This discussion explores the Goods and Services Tax (GST) implications for employers giving employees gifts in the form of cheques valued over £50,000. It clarifies that such gifts, made without consideration and in the course of business, are generally subject to GST. The employer and employee are considered related persons under the CGST Act, 2017, making the transaction taxable. Further clarification is sought regarding whether this constitutes a supply of goods or services and the applicable tax rate.