India

How are Giftcards treated for tax purposes in India (VAT, single-purpose / multi-purpose)? ›

India distinguishes tax treatment between single-purpose and multi-purpose Giftcards. For single-purpose Giftcards, GST is due on sale; for multi-purpose Giftcards, GST is due on redemption.

Is there a legal regulation in India on the validity period of Giftcards? ›

Yes, in India the validity period of Giftcards is regulated. Under Reserve Bank of India (RBI) guidelines, Giftcards may be valid for a maximum of three years. Providers must state the expiry date on the Giftcard.

Which consumer rights apply in India regarding expired Giftcards? ›

Under RBI guidelines, expired Giftcards may not be extended unless the provider grants a goodwill exception. Consumers must be informed of expiry dates before purchase.

What special rules apply in India for the sale, issuance, or redemption of Giftcards? ›

Giftcard providers must be registered with the RBI as a Prepaid Payment Instrument (PPI). Electronic Giftcards may be issued only by licensed financial service providers.