Service Tax for International event in India

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  1. Allwyn George

    Allwyn George New Member

    Dear Sir/ Madam,

    I am a director of a small Indian Company registerd in Noida (Turnover less than 7L/Year); engaged in Training and Consulting on Project Management/ Program Management, process improvement, and other Quality Training and Consultation.

    End of Aug'2014; we had been approached by a private organization from Ivory Coast for facilitating and assisting in conducting an event pertaining to Cocoa, Cashew, and Coffee to be held in Hotel Grand, New Delhi from the 18th to 20th of December 2014.

    The Ivorian Organization did not have any Indian bank account, for receiving and making payments pertaining to the event in India . So the Ivorian representative of the Ivorian organization signed a stamp paper agreement with our organization for the use of our company bank account, to recieve funds from India (within Asia) and make payments less than 5L pertaining to the event within India. We were promised that we would be paid after the event for the use of the bank account. However the event was not as expected, we did collect about 6-7 Lakhs for the event. However the turn-out for the event being poor, we couldnt raise enough money for even making various payment. The Ivorian Person also vanished with-out making payments due to us (our organization) He left us with an outstanding of 10L+ to be paid, for various vendors in India. We have tried to settle those out standings with our personal asset.

    FYI - We have not registered for a service tax on line.

    Question 1: Will the inflow into our bank on account of the event will be considered as part of our organizational inflow?
    Question 2: Do I have to pay a consolidated Service Tax?
    Question 3: What happens if I pay service tax this year and next year again my turnover goes back to Less than 7L?

    Please advice, or call

    +91 9560508906
    Last edited: Feb 24, 2015
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