Tax Data

Help & Advice

Gifts to customers and suppliers

The tax treatment depends on nature of the gift. If entertaining, then they are not tax-deductible. A gift of a product sample is generally treated as product promotion/advertising. A gift of alcoholic drink or tobacco is not usually tax-deductible. You can claim for gifts which carry advertising ie mugs, diaries, keyrings, are generally allowable as advertising. Input VAT can also be reclaimed on the cost of business gifts, but output VAT is accounted for where the gifts are not trivial