GST rate applicable for Event Management Business

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This discussion clarifies the Goods and Services Tax (GST) applicable to event management businesses, specifically for organising music concerts and festivals. It confirms that GST is indeed applicable on the ticket price (Rs 10,000 in the example) and that the rate is 18%. The conversation also touches upon income tax applicability, stating it's based on the Rs 10,000 ticket price.

Hitendra Agrawal

Hitendra Agrawal (Querist)

17 May 2023 I have started Event Management Company for organising Music concerts and festivals. I wish to know the taxation part of it.

I will be selling tickets on a web-based platform just like, BookMyShow.

Suppose, Tickets price range is from Rs 1,000 to Rs 10,000 + Booking Fees Rs 500 + GST on Booking Fees Rs 90 (@18%): Total Amount: Rs 10,590/-

Q1. Whether any GST is applicable on Rs 10,000? If yes, then at what rates?
Q2. On which amount, Income Tax will be applicable? Rs 10,000 or Rs 10,500 or Rs 10,590?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

17 May 2023 1 yes it's applicable on 10,000.
2 It's on 10,000.

Hitendra Agrawal

Hitendra Agrawal (Querist)

18 May 2023 Thanks for the response.
Whether this Rs 10,000 will be considered inclusive of GST. If yes, then what is the GST rate applicable on the same?

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)

19 May 2023 18% GST applicable it can be inclusive.

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