IGST What will be the place of supply for services in relation to organizing events?

Discussion in 'GST (Goods & Service Tax)' started by Raju Choudhary, Apr 22, 2017.

  1. Raju Choudhary

    Raju Choudhary Active Member Staff Member

    Ans. Section 9(8) of the Revised Model IGST Law provides that services in relation to organization of events when provided to a registered person shall be the location of such person. If the service is provided to a person not registered, then the place of supply shall be the place where the event is actually held.

    If the events are held in more than one State and consolidated amount is charged for supply of services relating to such event, then the place of supply of services shall be taken as being in each of the State in proportion to the value of services so provided in each State as ascertained from the terms of the contract or agreement entered in this regard. In the absence of such contract or agreement the place of supply shall be determined as may prescribed in rules.

    Example, Cars Limited, an automobile company based out of Bangalore, appoints Events Private Limited, a company based out of Mumbai providing event organization services, to provide services for organizing an event for launching their new vehicle in the Indian market. The launch event is organized at Mumbai, Delhi, Calcutta, Chennai by the Event Private Limited. The place of supply of organizing such events shall be the location of Cars Limited, that is Bangalore, if Cars Limited is a registered person.

    If Cars Limited is not a registered person, then the place of supply of such event organization services shall be the location where the events are actually held.

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