Service Tax on Reversal Basis - EXHIBTION, Service Tax

[RAM AVTAR]

Sir,

Whether any payment to EXHIBITION AGENCY on account of " premises rental " and ancillary charges is required to deduct service tax on reversal basis

Posts / Replies

[Naveed S]

Sir,

Service tax is not applicable on Exhibition under reverse charge basis.

However, it is applicable in respect of services provided or agreed to be provided by way of sponsorship, under which the service receiver is liable to pay service tax on the total amount paid for such sponsorship to the service provider.

[MARIAPPAN GOVINDARAJAN]

The views of Shri Naveed are correct.