Amount received from Franchisees, Sponsors and Co-sponsors of Cricket Tournaments not covered under Event Management Service
n case of COMMISSIONER OF CENTRAL EXCISE, AURANGABAD Versus LOKMAT MEDIA LTD. 2014 (6) TMI 31 - CESTAT MUMBAI, honorable Mumbai CESTAT has held that amount received from business houses for display of their advertisements and for participation of their teams in the matches was not covered under ‘Event Management Service’.
In the instant case, respondent has organized sports events i.e. cricket matches, in the name of APL and has received money from various franchisees, sponsors and co-sponsors. The respondent has facilitated selection of players, carrying out tournament and has made arrangement of matches, audience, lighting, etc. to conduct the tournament. The franchisees or co-sponsors has advertised their products by way of putting hoardings during the tournament. Respondent has not organized the cricket matches at the request of franchisee rather respondent on their own have organized the cricket tournament. In absence of any evidence on record to show that the respondents has organized the tournaments at the request of the co-sponsors or franchisees, honorable Mumbai Tribunal has set aside the demand under ‘Event Management Service’.