The following Direction is made by the Comptroller of Income Tax using powers given to him under Article 56(2) of the GST Law 2007 (as amended).
Sale of pre-payment cards or tokens
Where a retail business sells as agent any of the pre-payment cards or tokens listed below, that commission shall be relieved of a charge to GST and shall be treated as if they were zero rated for GST.
- car parking permits and scratch cards
- school bus tickets
- electricity keys
- mobile telephone top-up cards and machines
- lottery tickets
GST on the full value of the above pre-payment cards and vouchers is accounted for on the full selling price by the supplier of the card / voucher. The retailer merely acts as the agent in the sale and receives a commission.
This Direction removes an administrative burden on both the main supplier and hundreds of retailers at minimal loss of GST to the Treasury.
Expiry date: None