TaxTMI 
TaxTMI 
Dear Sir,
A pvt ltd Company contributed a sum of Rs 1 Lakh to a marathi organisation in Dubai for world marathi convention, on A/c of main sponsorship. Application of TDS and Service Tax.if the donee is a resident and a non resident.
Please help.
Case on Service Tax
23 Jan 2014 
2 Replies 
1068 Views Asked by
Sponsorship payments attract reverse-charge service tax irrespective of recipient residence; assess input tax credit eligibility.
Sponsorship payments constitute taxable services and attract service tax payable under the reverse charge mechanism irrespective of the recipient's residence; parties should assess whether service tax paid under reverse charge is eligible for input tax credit, while withholding tax (TDS) implications were not addressed in the advisory responses. (AI Summary)
Sponsorship payments constitute taxable services and attract service tax payable under the reverse charge mechanism irrespective of the recipient's residence; parties should assess whether service tax paid under reverse charge is eligible for input tax credit, while withholding tax (TDS) implications were not addressed in the advisory responses. (AI Summary)