ITC Allowed on Demonstration Health Products: Kerala AAR

In re Dynamic Techno Medicals Private Limited (GST AAR Kerala) In a significant ruling for businesses using product demonstrations, the Kerala Authority for Advance Ruling (AAR) has clarified that demo products are not equivalent to free samples under Goods and Services Tax (GST) law. The decision came in the case of In re Dynamic Techno Medicals Private Limited, addressing a long-standing question about the GST treatment of demonstration goods and their corresponding Input Tax Credit (ITC). The applicant, Dynamic Techno Medicals Private Limited, manufactures and markets health aid products l...