ISSUE:
Whether the GST paid on inputs/input services procured by the Appellant for implementing the ‘Buy n Fly’ promotional scheme is eligible for Input Tax Credit(ITC) under the GST law, as per Section 16 read with Section 17(5)(g) and (h) of the CGST Act, 2017 and TNGST Act, 2017?
RULE:
Input tax credit (ITC) is not available for goods or rewards distributed without consideration, even if given as part of a sales promotion, as they are treated as gifts or items for personal consumption. These do not qualify as inputs for ITC purposes, since no GST is charged on their disposal.