Event ManagementWedding & Conferences

GST on Event Management & Wedding — Planning 18%, Catering 5%, Venue 18%

Complete GST guide for event management: wedding planning 18%, outdoor catering 5% (no ITC), banquet/venue 18%, photography 18%, decoration 18%, artist fees 18%, sound/lighting 18%, firecrackers 28%, hotel accommodation 12-18%, and pure agent vs principal billing strategies.

18%

Event Management Service

5%

Catering (venue-based)

18%

Venue Rental (hotel)

18%

Photography/Video

18%

Decoration & Flowers

18%

Sound/Lighting Rental

18%

Tent/Pandal (temporary)

18%

Artist Performance

Event Management & Wedding — GST Framework

Wedding Planning & Event Management — 18% GST

EVENT MANAGEMENT SERVICE — 18%: Event management/planning: 18% (SAC 998596). Wedding planning (complete): 18%. Corporate event management: 18%. Conference/exhibition organizing: 18%. Birthday/anniversary planning: 18%. Product launch event: 18%. Fashion show management: 18%. Sports event management: 18%. Cultural event organizing: 18%. HOW EVENT MANAGERS WORK: Model 1 — Pure agency (coordinator): Charge coordination fee: 18% on fee. Vendors bill client directly (each at their rate). Event manager's GST: only on their commission/fee. Model 2 — Principal (bundled package): Client pays one amount to event manager. Event manager procures all services. GST: 18% on ENTIRE package value. ITC: event manager claims ITC on vendor bills. Model 3 — Mixed (some direct, some bundled): Each component billed appropriately. Coordination fee: 18%. Pass-through items: at respective vendor rates. WEDDING PLANNER — PRACTICAL EXAMPLE: Total wedding budget: ₹50,00,000 (₹50 lakh). If pure agency model: Planner fee (15% commission): ₹7,50,000 × 18% = ₹1,35,000 GST. Vendors bill client separately at their respective rates. Total GST to client: ₹1,35,000 (on planner) + various vendor GSTs. If bundled model: Planner bills everything: ₹50,00,000 × 18% = ₹9,00,000 GST. Planner claims ITC on vendor bills. Difference: bundled model = higher GST to client (18% on full amount vs component-wise rates). CORPORATE EVENT MANAGEMENT: Same 18% rate. But: ITC available to corporate client (registered business). So effective cost = same (18% charged, 18% ITC claimed). Corporate events: GST is neutral (unlike personal events where GST is cost). EXHIBITION/TRADE FAIR ORGANIZING: Exhibition space rental: 18% (service). Stall construction: 18%. Event coordination: 18%. Entry tickets: 18% (entertainment). Exhibitor fees: 18%. B2B exhibition: ITC available to both organizer and exhibitors.

Catering Services — 5% (No ITC) or 18% (With ITC)

OUTDOOR CATERING — 5% WITHOUT ITC: Outdoor catering service: 5% without ITC (SAC 996335). This is a SPECIAL rate — lower rate but NO input tax credit. 'Outdoor catering' means: catering supplied at a place other than the supplier's premises. Wedding catering (at venue/banquet): 5% without ITC. Corporate lunch catering (at client office): 5% without ITC. Party catering (at home/farmhouse): 5% without ITC. Catering at conference/seminar: 5% without ITC. RESTAURANT/PREMISES-BASED — 5% WITHOUT ITC: Restaurant service (eating at restaurant): 5% without ITC. This includes: food + beverages (non-alcoholic). Takeaway from restaurant: 5% (same as dine-in — service classification). WHEN CATERING IS 18%: Hotel with room tariff > ₹7,500/day (declared tariff): 18% WITH ITC. Catering supplied as part of hotel accommodation (bundled): 18%. Standalone catering company can opt for 18% WITH ITC (if beneficial). ITC COMPARISON FOR CATERER: At 5% (no ITC): Revenue: ₹10,00,000. GST collected: ₹50,000. ITC on inputs (groceries 5%, kitchen equipment 18%, gas 5%, staff uniform 12%): CANNOT claim. Net GST paid: ₹50,000 (full). At 18% (with ITC): Revenue: ₹10,00,000. GST collected: ₹1,80,000. ITC on inputs: assume ₹80,000. Net GST paid: ₹1,00,000 (₹1,80,000 - ₹80,000). BUT: client pays ₹1,80,000 GST (vs ₹50,000). For clients WITHOUT ITC (weddings, individuals): 5% rate is CHEAPER. For CORPORATE clients (can claim ITC): 18% is effectively same (they recover ITC). LIQUOR AT EVENTS: Alcoholic beverages: NOT under GST (state excise). Liquor supply at wedding/event: NO GST (state tax applies). Corkage charges (bringing own liquor to venue): 18% GST (service). Bartender service: 18% GST (manpower). FOOD AT EVENTS — CLASSIFICATION: Packaged food (snacks, sweets given as gifts): 5-18% (goods — respective rate). Prepared food served at event (catering): 5% (service). Sweet boxes (wedding distribution): 5% (if prepared and sold). Dry fruit boxes (pre-packed): 5-12% (goods). KEY: 'Served' food = catering service (5%). 'Packaged/sold' food = goods (rate depends on item).

Venue & Accommodation — 12-18% GST

VENUE RENTAL (For Events): Banquet hall rental: 18% (SAC 997212 — renting of immovable property). Convention center: 18%. Hotel ballroom: 18%. Farmhouse/resort venue: 18%. Community hall: 18% (if commercial rental). Religious institution venue: May be exempt (if charitable purpose). Open ground/park (government): 18%. Auditorium rental: 18%. Club venue: 18%. HOTEL ACCOMMODATION: Room tariff ≤ ₹1,000/day: Exempt (0%). Room tariff ₹1,001-₹7,500/day: 12%. Room tariff > ₹7,500/day: 18%. These rates are per room per day (declared/published tariff). WEDDING BLOCK BOOKING: 50 rooms blocked for wedding guests: Same slab-based rate (12% or 18% depending on tariff). No special rate for bulk booking. Discount: if discounted rate falls in lower slab → lower rate applies. But: 'declared tariff' determines slab (not actual charged amount in some interpretations). GST Council clarification (2022): Rate based on ACTUAL amount charged (not declared tariff). RESORT/DESTINATION WEDDING: All-inclusive resort package (room + food + venue): Composite supply — principal supply determines rate. If principal = accommodation: 12-18% on total. If principal = event management: 18% on total. Hotels usually: split billing (room at 12%, venue at 18%, food at 5%). This SPLIT billing: reduces total GST for client. TENT HOUSE & SHAMIANA: Tent/shamiana erection (temporary): 18% (service — erection/installation). Includes: tent, carpeting, lighting, stage. If tent house provides GOODS (sale of tent): 12-28% (depending on material). If tent house provides SERVICE (event setup): 18%. PANDAL & MANDAP: Mandap decoration (wedding): 18% (service). Pandal erection: 18%. Floral mandap: 18%. These are all SERVICES (temporary installation at venue). OPEN AIR VENUE: Outdoor venue setup (beach wedding, garden party): 18% (event service). Permissions/licenses (municipal): Not GST (government fee). Generator rental: 18% (rental of machinery).

Photography, Entertainment & Artists — 18% GST

PHOTOGRAPHY & VIDEOGRAPHY — 18%: Wedding photography: 18% (SAC 998914). Videography: 18%. Drone photography: 18%. Pre-wedding shoot: 18%. Album making: 18% (service). Photo/video editing: 18%. Live streaming of event: 18%. Candid photography: 18%. 360° photography: 18%. Photo booth rental: 18%. Note: Photography is uniformly 18% — no concessional rate. ARTIST/PERFORMER FEES — 18%: Live band/singer performance: 18% (SAC 999614). DJ services: 18%. Stand-up comedy: 18%. Dance performance: 18%. Anchor/emcee: 18%. Magician/entertainer: 18%. Celebrity appearance fee: 18%. Folk artist performance: 18%. Choreographer fee: 18%. BUT — ARTIST THRESHOLD: Individual artist earning < ₹40 lakh/year: No GST registration needed. Many wedding singers, local DJs: below threshold. Only celebrities/popular artists: above threshold (must charge GST). SOUND & LIGHTING — 18%: Sound system rental: 18% (rental of goods with operator). Lighting setup: 18%. LED wall/screen rental: 18%. Projector rental: 18%. Smoke machines: 18%. Special effects: 18%. DECORATION — 18%: Floral decoration: 18% (service — arrangement + installation). Stage decoration: 18%. Theme decoration: 18%. Balloon decoration: 18%. But: CUT FLOWERS (goods): Fresh flowers (loose): 0% (exempt — agricultural produce). Flower bouquets (arranged): 5% (processed goods). Flower garlands: 5%. So: buying flowers = 0-5% (goods). Flower DECORATION SERVICE = 18% (service of arranging). MEHENDI & BEAUTY — 18%: Mehendi artist: 18% (beauty service — SAC 999721). Bridal makeup: 18%. Hair styling: 18%. Spa services (pre-wedding): 18%. Beauty parlour services: 18%. But: individual artist below ₹40 lakh → exempt. FIREWORKS — 28%: Firecrackers: 28% (HSN 3604). Sparklers: 28%. Aerial shells: 28%. Note: HIGHEST GST slab — 28% + possible state green cess. Some states ban fireworks (not GST-related — environmental regulation). INVITATION CARDS — 12-18%: Printed invitation cards: 12% (HSN 4911 — printed material). Digital invitation: 18% (IT service — if by agency). Handmade invitations: 12%. Video invitation (editing): 18%.

Transport, Logistics & Ancillary Services — 5-18% GST

GUEST TRANSPORT: Luxury car rental (with chauffeur): 5% without ITC (passenger transport — SAC 996411). Or: 12% with ITC (if operator opts). Bus/coach hire (seating ≤ 13): 5% without ITC. Bus (> 13 seats — contract carriage): 5% without ITC. AC bus (contract carriage): 5% without ITC. Helicopter charter (for events): 5% without ITC (passenger transport). GOODS TRANSPORT (Event material): Truck for tent/furniture transport: 5% (GTA — goods transport agency). Or: 12% with ITC if transporter opts. Courier (invitation delivery): 18%. Logistics (multiple city events): 18% (logistics service). ACCOMMODATION AGGREGATOR: If booked through OTA (MakeMyTrip, OYO, Booking.com): TCS at 1% collected by platform. Hotel rate: 12-18% (same as direct). Platform service charge: 18% (on their commission). TRAVEL AGENT/TOUR OPERATOR: Tour operator (organizing travel for wedding guests): 5% without ITC (on total consideration). Or: 18% with ITC (on commission/margin). If selling air tickets: Domestic air ticket: 5% on commission. International ticket: Nil on basic fare + 18% on markup. VALET PARKING: Valet parking service: 18% (SAC 996742). Parking lot rental: 18%. SECURITY SERVICES: Security guards for event: 18% (security service). Bouncers: 18%. Traffic management: 18%. CRANE/HEAVY EQUIPMENT: Crane rental (for stage setup): 18% (rental of machinery with operator). Hydraulic lift: 18%. Generator on hire: 18% (with fuel: 18%, without fuel: 18% — same). CLEANING & HOUSEKEEPING: Post-event cleaning: 18% (cleaning service). Housekeeping during event: 18%. Waste management: 18%. INSURANCE: Event insurance: 18% (insurance service). Wedding insurance: 18%. Equipment insurance (short-term): 18%. LIABILITY & CANCELLATION: Event cancellation insurance: 18%. Force majeure claims: insurance payout NOT taxable (not a supply). Penalty for venue cancellation: 18% (agreeing to tolerate an act — taxable service post-2024 amendment).

ITC Rules for Event Companies & Wedding Planners

EVENT COMPANY — ITC FRAMEWORK: Output: Event management service at 18%. ITC on ALL inputs: Available (since output is taxable at 18%). INPUT ITC AVAILABLE: Venue hire: 18% → ITC ✓. Catering sub-contract: 5% → ITC ✓ (but note: if caterer opted for 5% no-ITC, caterer's ITC is blocked — YOUR ITC on their bill is fine). Photography vendor: 18% → ITC ✓. Decoration vendor: 18% → ITC ✓. Sound/light equipment: 18% → ITC ✓. Transport: 5-18% → ITC ✓. Printing (invites, banners): 12-18% → ITC ✓. Advertising: 18% → ITC ✓. Office rent: 18% → ITC ✓. Staff salary: No GST → No ITC (salary exempt). Employee travel (for event): blocked ITC (Section 17(5) — personal travel). Food for staff: blocked ITC (food/beverages — Section 17(5)). BLOCKED ITC (Section 17(5) — Event context): Food & beverages for STAFF: blocked (cannot claim). Club membership: blocked. Personal gifts to clients: blocked. Outdoor catering for OWN employees: blocked. Motor vehicles: blocked (unless in business of transport). IMPORTANT: These blocks apply to YOUR company's consumption. ITC on vendor bills (that you'll charge to client): ALLOWED. CATERING COMPANY ITC: If opted for 5% (no ITC): ZERO ITC on anything. Raw materials (groceries, spices): no ITC. Kitchen equipment: no ITC. Gas cylinders: no ITC. Vehicle (delivery): no ITC. This is the TRADE-OFF: lower rate (5%) but no ITC recovery. If opted for 18% (with ITC): All inputs: ITC available. Raw materials: 5% → ITC ✓. Equipment: 18% → ITC ✓. Packaging: 18% → ITC ✓. But: clients pay 18% (higher than 5% — less competitive for personal events). VENUE OWNER ITC: Hotel/banquet hall: 18% output → full ITC. Construction of venue: BLOCKED (Section 17(5)(c) — construction of immovable property). Ongoing maintenance: 18% → ITC ✓. Furniture: 18% → ITC ✓. AC/electrical: 18% → ITC ✓. CRITICAL: ITC on CONSTRUCTION of building is permanently blocked. Even if building is used 100% for taxable services (venue rental). This is a major cash outflow for new venues. ITC RECONCILIATION: Monthly: Match ITC claimed with GSTR-2B (auto-generated). Ensure: all vendors file their GSTR-1 (otherwise your ITC is provisional). Annual: GSTR-9 reconciliation. ITC reversal: if vendor doesn't pay GST within 180 days → reverse your ITC. RE-INVOICE / DISBURSEMENT: If event manager pays vendors on client's behalf: Two options: (1) Pure agent: don't include in your turnover (pass-through). Must: client knows the vendor, payment in vendor's name, no markup. Your GST: only on your fee/commission. (2) Principal: include in your turnover (bill client for everything at 18%). Claim ITC on all vendor bills. Higher turnover = potentially higher GST compliance cost. PURE AGENT RULES (Rule 33): Conditions for pure agent treatment: (a) Event manager acts as pure agent of client. (b) Client authorized the payment. (c) Payment made in third party's name. (d) Event manager doesn't hold goods/services as own. If conditions met: vendor expenses excluded from event manager's value. GST only on event manager's commission/fee. EXAMPLE: Wedding total: ₹50 lakh. Event manager fee: ₹7.5 lakh (15%). Vendor expenses: ₹42.5 lakh. As pure agent: GST = 18% × ₹7.5 lakh = ₹1.35 lakh. As principal: GST = 18% × ₹50 lakh = ₹9 lakh (but claims ITC on ₹42.5 lakh). Client saves: significantly under pure agent model (for personal events where client can't claim ITC).

Event Management — GST Rate Table

ItemHSN / SACGST RateNotes
Event management/planning service99859618%All event coordination
Outdoor catering service9963355%Without ITC — lower rate
Hotel catering (tariff >₹7,500)99633518%With ITC
Banquet/venue rental99721218%Immovable property rental
Hotel room (₹1,001-₹7,500/day)99631112%Accommodation
Hotel room (>₹7,500/day)99631118%Luxury accommodation
Photography & videography99891418%All photo/video services
Sound/lighting/DJ equipment rental99721218%Equipment with operator
Decoration service (floral/theme)99859618%Arrangement + installation
Artist/performer/singer fee99961418%If above ₹40L threshold
Tent/pandal/shamiana erection99542918%Temporary structures
Firecrackers & fireworks360428%Highest slab

Frequently Asked Questions

We're a wedding planning company. Should we bill as 'pure agent' or include all vendor costs in our invoice?
WEDDING PLANNER — PURE AGENT vs PRINCIPAL MODEL: PURE AGENT MODEL (Rule 33 of CGST Rules): What it means: You act as client's agent. You arrange vendors on client's behalf. Vendors bill the client (or you pay on client's behalf without markup). You bill client ONLY your planning fee/commission. GST: Only on YOUR fee (e.g., 15% of total budget × 18%). Client pays vendors directly or through you (pass-through). YOUR INVOICE: Fee: ₹7,50,000 (planning charges). GST: ₹1,35,000 (18%). Total: ₹8,85,000. Plus: vendor payments as reimbursement (no GST from you). CONDITIONS FOR PURE AGENT (All must be met): (1) You enter into contract with vendor as client's agent (not on own account). (2) Client KNOWS who the vendor is and authorizes the payment. (3) Payment is made in vendor's name (vendor invoices client or mentions client). (4) You don't use the service yourself (it's for client's event). (5) You make NO profit/markup on the pass-through amount. Documentation needed: Written agreement stating pure agent capacity. Client's authorization for each vendor engagement. Vendor invoices in client's name (or clearly identifying client). Separate accounting of pure agent expenses. No markup evidence (same amount received from client = paid to vendor). PRINCIPAL MODEL: What it means: You buy all services from vendors. You sell the COMPLETE EVENT to client. Your invoice: total event cost + your margin, all at 18%. YOUR INVOICE: Total event package: ₹50,00,000. GST: ₹9,00,000 (18% on everything). Total: ₹59,00,000. You claim ITC on all vendor bills. WHICH IS BETTER? For PERSONAL events (wedding — client can't claim ITC): Pure Agent is ALWAYS better for client: Client's total GST: ₹1,35,000 (on your fee only). Each vendor charges their own rate (caterer 5%, decorator 18%, etc.). Total GST is LESS than 18% on everything. Example calculation: Pure agent total GST to client: Fee 18%: ₹1,35,000. Catering ₹15L × 5%: ₹75,000. Venue ₹10L × 18%: ₹1,80,000. Photography ₹3L × 18%: ₹54,000. Decoration ₹5L × 18%: ₹90,000. Others ₹9.5L × avg 15%: ₹1,42,500. Total GST: ₹6,76,500. Principal model total GST: ₹50L × 18%: ₹9,00,000. SAVINGS: ₹2,23,500 (pure agent saves client money). For CORPORATE events (client claims ITC): Either model works — corporate client recovers ITC. Principal model: simpler (one invoice, one ITC claim). Pure agent: more documentation. Corporate clients often prefer principal model (simplicity). YOUR RISK AS PURE AGENT: If vendor defaults/disputes: you're in the middle (but contractually client's vendor). If conditions aren't met perfectly: tax department may deny pure agent status. Reclassification risk: officer says 'you're actually principal' → demand 18% on full amount + interest + penalty. DOCUMENTATION TO MAINTAIN: Keep meticulously: Event contract (clearly stating pure agent capacity). Client authorization letters (for each vendor). Vendor contracts (showing client as beneficiary). Payment trails (in/out matching — no profit). Separate ledger for pure agent transactions. Client sign-off on each vendor payment.
How does GST apply to destination weddings (Goa, Rajasthan, abroad)? Any special rules?
DESTINATION WEDDING GST — DOMESTIC & INTERNATIONAL: DOMESTIC DESTINATION WEDDING (Goa, Udaipur, Jaipur, Kerala): No special GST regime — same rates as local wedding. But: interstate supply rules apply if vendors are from different states. PLACE OF SUPPLY — CRITICAL FOR EVENTS: Event management service: Where the event is physically held (Section 12(7)). Your event planner is in Mumbai. Wedding is in Udaipur (Rajasthan). Place of supply: Rajasthan (where event is held). If planner registered in Maharashtra (Mumbai): IGST applies (inter-state). If planner has Rajasthan registration: CGST + SGST (intra-state). MULTIPLE LOCATIONS: Pre-wedding in Goa + Wedding in Udaipur + Reception in Mumbai: Each event: place of supply where that event occurs. Multiple invoices may be needed (one per state). Or: single invoice with IGST (if inter-state). INTERSTATE VENDOR PAYMENTS: Caterer from Delhi serving at Udaipur wedding: Place of supply: Rajasthan (where catering happens). Delhi caterer bills IGST (interstate). Udaipur caterer bills CGST+SGST Rajasthan (intrastate to venue). HOTEL/VENUE AT DESTINATION: Hotel in Udaipur: CGST + Rajasthan SGST (immovable property — always where property is). Client from Mumbai pays: still gets Rajasthan GST (place of supply = property location). For hotels: place of supply = hotel location (always). Client's state is irrelevant for hotel accommodation. CHARTERED FLIGHT / HELICOPTER: Domestic charter for wedding guests: 5% (passenger transport). Place of supply: where passenger embarks. Helicopter for baraat: 5% (joyride/charter — passenger transport). INTERNATIONAL DESTINATION WEDDING: Wedding in Bali/Dubai/Thailand (Indian couple, Indian planner): If event management provided by Indian company for event ABROAD: Export of service? Conditions for export (Section 2(6) of IGST Act): (a) Supplier in India ✓. (b) Recipient can be in India (Indian couple) ✗ (for export, recipient should be outside India OR payment in convertible foreign exchange for non-related). If RECIPIENT IS IN INDIA (Indian couple): NOT export — domestic supply. Place of supply: Location of recipient (India). GST: 18% IGST or CGST+SGST (depending on planner's state vs client's state). Even though event is physically outside India: if recipient is in India, it's domestic taxable supply. WHEN IS IT EXPORT (0% GST): Foreign couple hiring Indian event manager for wedding abroad: Supplier: India. Recipient: Outside India (foreign client). Payment: In foreign currency. Place of supply: Outside India (Section 13 — for services to non-resident). This IS export: 0% GST (zero-rated under LUT). FOREIGN VENDORS AT INDIAN WEDDING: Foreign artist performing at Indian wedding (Goa): Import of service by Indian recipient. Indian event company / client: pays GST under Reverse Charge (18%). Place of supply: India (where performance happens). RCM: 18% on artist fee (in INR equivalent). ITC: available to event company (if registered). PRACTICAL — DOMESTIC DESTINATION WEDDING STRUCTURE: Recommended approach for Udaipur wedding (planner in Mumbai): Option 1: Planner takes IGST Rajasthan registration (additional state). Bills CGST + Rajasthan SGST (saves client from IGST). Rajasthan tax credit stays in Rajasthan (state benefits). Option 2: Bill from Mumbai registration with IGST. Simpler (one registration). IGST settled by government (Maharashtra SGST → Rajasthan). Client doesn't care (IGST or CGST+SGST — amount same). LUXURY TAX / TOURISM TAX: Some states: additional tourism tax/luxury tax (NOT under GST). Rajasthan: no separate luxury tax post-GST. Goa: no separate state tax on events (subsumed in GST). But: municipal permissions, entertainment tax (local body — NOT GST) may apply. These are fixed fees, not percentage-based.
We run a banquet hall. What's the GST on food + venue when we offer bundled wedding packages?
BANQUET HALL — BUNDLED WEDDING PACKAGE GST: YOUR SERVICE: Banquet hall renting + food/catering + decoration + DJ — all-in-one package price. This is a BUNDLED SUPPLY — multiple elements in one price. GST CLASSIFICATION — TWO INTERPRETATIONS: INTERPRETATION 1 — Composite Supply (Section 2(30)): If one element is 'principal supply' and others are ancillary: Taxed at principal supply's rate. For banquet hall with food: Is principal supply = venue rental (18%)? Or = catering/food (5%)? Arguments for VENUE as principal: Client books 'hall' — food is additional service. Without hall, food service doesn't happen. Contract is for 'event venue with amenities'. Arguments for FOOD as principal: Most of the value is food (50-60% of package). Client's primary requirement is feeding guests. Food is the dominant element. WHAT DOES THE LAW SAY — AAR RULINGS: Multiple Advance Rulings have addressed this: (1) M/s Barbeque Nation (Karnataka AAR): Restaurant service with entertainment: 5% (food is principal). (2) Various banquet hall rulings: If >50% value is food: outdoor catering (5% without ITC). If venue is primary: renting of immovable property (18%). CURRENT INDUSTRY PRACTICE (Most common): SPLIT BILLING — RECOMMENDED APPROACH: Break the package into components: (a) Venue/hall rental: ₹3,00,000 → 18% GST = ₹54,000. (b) Catering/food: ₹7,00,000 → 5% GST = ₹35,000 (without ITC). (c) Decoration: ₹2,00,000 → 18% GST = ₹36,000. (d) DJ/Sound: ₹1,00,000 → 18% GST = ₹18,000. Total: ₹13,00,000. Total GST: ₹1,43,000 (effective ~11%). vs. If all bundled at 18%: ₹13,00,000 × 18% = ₹2,34,000. vs. If all at 5% (catering): ₹13,00,000 × 5% = ₹65,000 (aggressive — risky). SPLIT BILLING: saves client ₹91,000 vs 18% bundled. WHEN CAN YOU BILL FOOD AT 5%? You MUST be providing 'outdoor catering service': Food is prepared and served. It's at a place other than YOUR regular restaurant. (Banquet hall IS your premises — so technically NOT 'outdoor'). This creates ambiguity: Banquet hall food = restaurant service (5% without ITC)? Or = supply of food in rented premises (18% bundled with venue)? SAFEST POSITION (Avoid disputes): Bill separately: Venue rental: 18%. Food (if you have restaurant/kitchen): 5% (restaurant service). Decoration/DJ: 18%. If you DON'T have a restaurant license: Bill food as part of venue service: 18% on full amount (venue + food). Or: sub-contract catering to a caterer (caterer bills 5%). PRACTICAL RECOMMENDATION FOR BANQUET HALLS: (1) Get restaurant/food service license (FSSAI) separately. (2) Bill venue and food as SEPARATE services. (3) Venue rental: 18% GST. (4) Food/catering: 5% GST (without ITC — as restaurant/outdoor catering). (5) Other services (decoration, etc.): 18% each. (6) Maintain separate SAC codes on invoices. (7) Keep separate accounting for food vs venue revenue. LIQUOR REVENUE: Liquor supply: NOT under GST (state excise). Corkage charges: 18% GST (service — tolerating bring-your-own). Bar service charges: 18% GST (service of serving). Liquor sale revenue: Excluded from GST turnover (for threshold calculation). ITC: Cannot claim ITC on purchases used for liquor service (exempt/non-GST supply).
How are online/virtual events (webinars, virtual conferences, live streaming) taxed under GST?
VIRTUAL EVENTS & ONLINE CONFERENCES — GST: DOMESTIC VIRTUAL EVENTS: Virtual conference organizing: 18% (event management service — SAC 998596). Webinar hosting service: 18%. Virtual exhibition platform: 18%. Online workshop/seminar: 18%. Live streaming service: 18%. Hybrid event (physical + virtual): 18%. PLACE OF SUPPLY — VIRTUAL EVENTS: For B2B (registered recipient): Place of supply = recipient's location (registered address). Mumbai organizer → Delhi company attending: IGST (interstate). For B2C (unregistered): Place of supply = supplier's location (organizer's state). Mumbai organizer → individual attendees anywhere: CGST + Maharashtra SGST. TICKET SALES — VIRTUAL EVENT: Online ticket/registration (Zoom webinar, virtual conference): 18% (access to online content/service). Early bird, standard, VIP virtual tickets: all 18%. No distinction in rate based on ticket tier. Platform fees (Eventbrite, Townscript): 18% (intermediary service). INTERNATIONAL VIRTUAL EVENTS: Indian company hosting virtual event — foreign attendees paying: If attendees are outside India + pay in foreign currency: Export of service (0% under LUT). Conditions: Supplier in India ✓. Recipient outside India ✓. Payment in convertible foreign exchange ✓. Not in list of excluded services ✓. Zero-rated: claim ITC refund on inputs. Indian attendee at foreign virtual event: Import of service by Indian participant. If B2B (company pays): RCM at 18%. If B2C (individual pays): Technically RCM applicable — but enforcement is nearly zero for individuals. Foreign platforms (Hopin, Zoom Events): OIDAR service rules may apply. OIDAR (Online Information and Database Access or Retrieval): Foreign supplier of OIDAR to non-taxable person in India: Must register in India and charge GST (18%). This applies to: Netflix, Spotify, foreign webinar platforms. But: B2B supply from foreign platform → Indian company pays RCM. VIRTUAL EVENT PLATFORM DEVELOPER: Building virtual event software (for clients): 18% (IT service). SaaS subscription (event management software — Hubilo, Airmeet): 18%. Custom platform development: 18%. If Indian developer builds for foreign client (export): 0% under LUT. LIVE STREAMING SERVICES: OBS streaming setup service: 18%. YouTube/Facebook Live production: 18%. Multi-camera live stream direction: 18%. Equipment rental (encoder, camera): 18%. Streaming CDN charges (AWS, Vimeo): 18% (cloud service — RCM if foreign). SPONSORED VIRTUAL EVENTS: Sponsorship of virtual event: 18% (advertising/sponsorship service — SAC 998361). Sponsor pays for: Logo placement, speaking slot, branded session. Event company receives sponsorship: 18% output. Sponsor's ITC: Available (if business expenditure). COMPARISON — PHYSICAL vs VIRTUAL EVENT GST: Physical event in India: 18% (place of supply = event location). Virtual event (all Indian): 18% (same rate, different place of supply rule). Physical event — foreign: May be export (if service to non-resident abroad). Virtual event — foreign attendees: Export if all conditions met (payment in forex, recipient outside India). NET IMPACT: Virtual events — same 18% for domestic. Advantage for international: easier to classify as export (recipients clearly outside India). No venue-related GST complications (no 12-18% hotel, no tent/pandal). Lower total GST incidence for virtual (no physical service components).

Event Management GST — Wedding Billing, ITC & Compliance

Laabam.One handles event management GST: pure agent vs principal billing optimization, wedding catering at 5% vs 18% structuring, venue split-billing for tax savings, artist/performer TDS + GST compliance, destination wedding place of supply, and corporate event ITC maximization.

Explore GST Law