Applicability of service tax - Publications in exhibitions

[mahesh nandwani]

One of our client organises the exhibition for which it is registered with the Service tax department. It also publish a catalogue with the names and particulars of all the exhibitors. This is cuopmulsory for all exhibitors. The cost of this is Rs. 5000. This has been the practice in all our previous exhibitions. They do not charge service tax on this amount. What we would like to know is whether we are required to do so or can we continue with charging just the Rs. 5000. Your opinion will be most helpful. Whether this can be treated as sale and a seperate invoice can be raised. If it can be billed seperately, it attracts Sales tax. Can we add it to the service tax bill to avoid sales tax registration. thanks

AI Summary

Exhibition Catalogue: Service Tax Applies When Charged to Exhibitors, Sales Tax When Sold to Public. A client organizes exhibitions and publishes a compulsory catalogue for exhibitors, costing Rs. 5000, without charging service tax. They seek advice on whether service tax should be applied or if it can be treated as a sale, which would attract sales tax. The response indicates that if the catalogue is priced and sold to the general public, it falls under sales tax. However, if it is prepared for and charged to exhibitors, it may be liable for service tax due to recent budget changes.