TaxTMI 
TaxTMI 
In case of sponsorship fees paid by a manufacturing company to an agency for purpose of sponsor of event related to employee national awards for the rcm paid on sponsorship can credit of rcm be availed by company as eligible credit under gst
GST ITC on spondorship
20 Feb 2019 
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ITC eligibility for sponsorship under reverse charge hinges on whether the sponsorship furthers business, enabling credit.
ITC on sponsorship fees charged under reverse charge is allowable where the sponsorship is for the furtherance of business; sponsoring public events that promote the company's profile or motivate employees falls within "in the course of business or furtherance of business," so credit may be claimed subject to the normal documentary and compliance conditions for input tax credit. (AI Summary)
ITC on sponsorship fees charged under reverse charge is allowable where the sponsorship is for the furtherance of business; sponsoring public events that promote the company's profile or motivate employees falls within "in the course of business or furtherance of business," so credit may be claimed subject to the normal documentary and compliance conditions for input tax credit. (AI Summary)