Delhi GST Department Issues Clarification on Issues Related to GST Treatment of Vouchers

Delhi GST Department Issues Clarification on Issues Related to GST Treatment of Vouchers

The Central Board of Indirect Taxes and Customs (CBIC) has issued a circular where it has given clarification regarding the issues related to the GST Treatment of Vouchers. The Issues were as follows:

“Issue 1-Whether “transactions in vouchers” fall under the category of supply of goods and/or services?

Issue 2-What would be the GST treatment of transactions in vouchers by distributors/sub-distributors/ agents etc.?

Issue 3-What would be GST treatment of additional services such as advertisement, co-branding, marketing & promotion, customization services, technology support services, customer support services etc.

Issue 4-What would be the GST treatment of unredeemed vouchers (breakage)?”

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The CBIC has decided that the Circular No. 243/37/2024 GST, dated 31st December 2024, is applicable in this regard. The circular explains the treatment of transactions in vouchers and treatment of other extra services such as advertisement, co-branding, marketing & promotion, customisation services, technology support services, customer support services, etc. Additionally, it also provides clarification on the GST treatment of unredeemed vouchers (breakage).

Refer to the official circular for more information.