Corporate Gifts Association seeks amendment in Income Tax Act that adversely impacts the industry

• September 2, 2022
• CA Chandan Agarwal's Office

Corporate Gifts Association of India (CGAI), a registered corporate gift manufacturing association is seeking an amendment to Section 194R of Income Tax, which makes it necessary to deduct 10% tax at source on the value of any benefit or perquisite received by an Indian resident.

Originally, this was introduced by the government to widen the tax base and reduce tax evasion in the country. However, now Gifts Association feels that this has led to many corporate avoiding corporate giftin ..