What shall be the taxability for soap sold and along with it a free shampoo sachet is provided as a promotional item.... The rate of the soap is same in the market as it was earlier and still remains the same even when free shampoo is given along with.
What shall be the rate appled to soap in this case?
Will it be treated as a mixed supply u/s 2(74) of the CGST Act?
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Taxability of free supply
Replies (2)
1) 18% main product soap
2)yes
But in case of mixed supply ,the highest tax rate of all supplies shall be considered for whole.
In that case rate of shampoo being 28% should apply to whole of this supply?
In that case rate of shampoo being 28% should apply to whole of this supply?
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