Service Tax on Ticket Sales for Navratra Event

[Anish Goyal]

Dear all,

In garba dance event the organisers sell tickets, the tickets are entry fees for the public to enter the premises and participate in the Gabra dance Event. As per our interpretation, the Garba dance event is a dance event and the admission to such event is exempted vide Sr.No. 47(i) of the Mega Exemption Notification no. 25/2012. The same is reproduced hereunder:

“47. Services by way of right to admission to,-

(i) exhibition of cinematographic film, circus, dance, or theatrical performance including drama or ballet;

(ii) recognised sporting event;

(iii) Award function, concert, pageant, musical performance or any sporting event other than a recognised sporting event, where the consideration for admission is not more than ₹ 500 per person

 

whether as per our opinion the entry to such dance event will be taxable or not. If you consider admission to Garba Dance Event as taxable service, kindly let us know whether exemption as per Sr.No. 47(iii) for entry tickets of less than ₹ 500/- will be available or not.

AI Summary

Are Garba Dance Event Tickets Taxable? Check Mega Exemption Notification No. 25/2012 for Details on Ticket Sales and Tax. A query was raised about whether ticket sales for a Garba dance event are subject to service tax, referencing the Mega Exemption Notification No. 25/2012. The exemption covers admission to dance events under Serial No. 47(i), suggesting such events are not taxable. However, if tickets exceed 500, they may fall under Serial No. 47(iii), which could require tax. Respondents advised using specific terms on tickets to avoid confusion and emphasized ensuring proper classification to determine tax applicability. The discussion highlights the importance of adhering to classification rules to avoid misapplication of service tax.