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CA Intermediate · Taxation · Place of Supply

Kiran Events, a registered event organiser in Hyderabad (Telangana), provides admission to a three-day music festival held in Goa to Ms. Neha, a registered person in Chennai (Tamil Nadu), for a fee. Neha buys the pass for her own use. What is the place of supply of this service?

The place of supply is Goa. A service of admission to a cultural, artistic, sporting or entertainment event has a specific rule making the place of supply the place where the event is held. This overrides the general B2B rule that uses the recipient's location.

  1. AChennai, Tamil Nadu, the location of the recipient
  2. BHyderabad, Telangana, the location of the supplier
  3. CGoa, where the event is heldCorrect
  4. DPlace where payment is received

Explanation

For admission to an event such as a cultural or entertainment event, the place of supply is the place where the event is actually held. The event is held in Goa, so the place of supply is Goa regardless of the registration of the recipient. The default rule of recipient location for B2B services does not apply to this specific provision.

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