whether sponsership paid by company and managed by event manager amount to FBT.
WHETHER seperate books required to be maintained for employee and non employee
ii. Expenditure incurred on advertisement is not to be included in the value of fringe benefits. The type of the expenditure on advertisement which is not to be included has been specifically provided. Expenditure on advertisement in print media, electronic media, transport systems, holding of or participation in a press conference, business convention, fair or exhibition, publication of any notice, and by way of signs, artwork, painting, banner, direct mail, kiosk, hoardings shall be excluded from the value of the fringe benefit. However, expenditure on sponsorship of any sports event or any other event shall be excluded only when the event is organized by any government agency or trade association or body. This will mean that in case the event is organized by the employer himself, then the expenditure incurred on such event shall be included in the value of fringe benefits. Payment made to advertising agency for any of the purposes stated above shall also be out of the purview of the Fringe Benefit.
There are no seperate books to be maintained for employee or non employee.
Its just the tax on expenditure on presumtive basis.
The tax on expenditure will include sponsorship to event manager the purpose not mentioned above
Hope the explaination is suficient to meet ur doubt requirements buddy
CAclubindia
