CONFERENCE PACKAGES, EXHIBITOR FEES & BRAND PROMOTION CLASSIFIED UNDER GST: ITC ALLOWED ON EVENT RELATED SERVICES
RAJASTHAN AUTHORITY FOR ADVANCE RULING
GOODS AND SERVICES TAX
Case Title- M/s All Rajasthan Corrugated Board and Box
(GST AAR RAJASTHAN)
Advance Ruling No. RAJ/AAR/2019-20/07
Date of Judgment/Order- 17th May 2019
IMPORTANT PARAGRAPHS-
Para No. 2. QUESTIONS ON WHICH THE ADVANCE RULING IS SOUGHT
I. What shall be the nature of service and classification in accordance with Notification No. 11/2017- CT(R) dated 28.06.17 read with annexure attached to it in relation the following services:
(a) Service provided by the applicant to the delegates.
(b) Service provided by the applicant to the exhibitors.
Il. In relation to the brand promotion packages offered by the applicant in the course of the event,
(a) What shall be the nature of service and classification in accordance with Notification No.n/2017-CT(R) dated 28.06.17 read with annexure attached to it?
(b) Whether the applicant is liable to pay tax on services provided to the brand promoters or the liability to pay tax on such services falls on recipient under reverse charge according to Notification No. 13/2017 – Central Tax (Rate)?
Ill. Whether Input Tax Credit is admissible for the applicant in respect of tax paid on the following:
(a) Services provided by the hotel including accommodation, food & beverages.
(b) Supply of food and beverages by outside caterers
(c) Services provided by event manager like pickup & drop, exhibition stall setup, tenting, etc.
RULING
In view of the foregoing, we rule as follows:-
I. The Service provided by the applicant to the delegates and exhibitors is a composite supply and classifiable under Service Code 998596 having Service description “Events, exhibitions, conventions and trade shows organizations and assistance services” as per Annexure: Scheme of Classification of Services to Notification No. 11 / 2017-Centra1 Tax (Rate) dated 28.06.2017(as amended from time to time).
Il. The service of brand promotion packages offered by the applicant in the course of the event is a composite supply and classifiable under Service Code 998397 having Service description “Sponsorship services and brand promotion services” as per Annexure: Scheme of Classification of Services to Notification No. 11/2017-Central Tax (Rate) dated 28.06.2017 (as amended from time to time) .
The applicant is liable to pay GST on service of brand promotion and not covered under reverse charge mechanism.
Ill. Input Tax Credit is admissible to the applicant in respect of tax paid on the following:-
- Services provided by the hotel including accommodation, food & beverages.
- Supply of food and beverages by outside caterers
- Services provided by event manager like pickup & drop, exhibition stall setup, tenting, etc.
