1. Customer is benefited by the price reduced.
2. The supplier funded the discount.
Value of discount is the value by which the consideration is reduced. When discount is offered in lieu of voucher, the effect of VAT on such transaction shall differ.
*in case consideration received is less than the value stated in the voucher
Unless the value for which the voucher may redeemed is not known at the time of issue of voucher, it may not be considered for the purpose of discount.
Example: Lakmé salon issues free voucher to avail any one service. In this case the value for which the voucher shall be redeemed is not known at the time of issuance of voucher. Therefore, the issue of voucher shall not be considered as voucher issued to give discount. Thereby, having no impact on tax payable or tax to be charged.
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