EXAMPLE-47

Hotel issues vouchers on longer stay (voucher contains points) or their premium manner for stay in hotel. Hotel company has entered into contract with many establishments for redeeming of voucher. Like voucher containing points can be redeem on Amazon or for stay in Hotel. For example some establishment provides Rs. 1000 for 8000 points of such voucher. When the incidence of tax arises?

Answer

In this case supply is not identifiable because holder can shop at various establishments.

So Time of supply will be the date of redemption of vouchers.