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

Service tax exemption for dance events: admission generally exempt but ticketing requires correct classification and compliance.
Admission to a Garba dance event is treated as an exhibition of dance under Serial No.47(i) of the Mega Exemption Notification and is ordinarily exempt from service tax; organisers must avoid misclassification or labelling admissions as taxable entry fees. If the activity is classified under the separate exemption provision for other events, the exemption there depends on the admission consideration threshold, so charged tickets require correct classification and compliance with that provision's conditions.