In a significant ruling, the Supreme Court has set aside a service tax demand raised against HT Media Limited, holding that fees paid to foreign speakers for participating in the Hindustan Times Leadership Summit cannot be treated as “event management services.” The judgment brings clarity to how service tax provisions applied before the GST era and draws a clear line between event management and speaker engagement services.
Background of the Case
HT Media Ltd., the publisher of Hindustan Times, organizes the annual Hindustan Times Leadership Summit, a high-profile event featuring global leaders and public figures. For several editions, the company invited international speakers such as Tony Blair and Al Gore through foreign booking agencies like the Washington Speakers Bureau and Harry Walker Agency.
The tax department issued show-cause notices claiming that payments made to these agencies attracted service tax under “Event Management Service”, invoking the extended limitation period under the Finance Act, 1994.
The Commissioner confirmed the demand. While the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) dropped the extended limitation period, it upheld tax liability under the normal period. HT Media then approached the Supreme Court.
Key Issue Before the Court
The central question was:
Does paying foreign booking agencies for arranging speakers amount to “event management service” under Section 65(105)(zu) of the Finance Act, 1994?
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Senior counsel for HT Media argued that:
- The booking agencies were not event managers, but only intermediaries arranging speaker appearances.
- They did not plan, organize, promote, or manage the Summit.
- The agencies merely facilitated contracts on behalf of speakers.
- Event management involves logistics such as venue handling, stage setup, publicity, and coordination - none of which were done by the booking agents.
It was also argued that service tax laws must be strictly interpreted and cannot be stretched by implication.
Revenue’s Stand
The tax department contended that:
- The speakers were the central attraction of the Summit.
- Without the speakers, the event had no meaning.
- The agencies ensured the speakers’ participation and were therefore part of event management.
- Payments made to the agencies should attract service tax under the event management category.
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Court’s Observations
The Supreme Court carefully examined the contracts, statutory provisions, and earlier rulings.
The bench observed:
“The contracts were not for management of the event but for booking of speakers. Participation in an event cannot be equated with managing the event.”
The Court emphasized that:
- Event management involves planning, organizing, and executing the event, not merely arranging a speaker.
- Booking agencies did not handle logistics, publicity, venue, or coordination.
- The speaker’s presence, though important, does not convert the booking agent into an event manager.
- Tax laws must be interpreted strictly, and liability cannot be assumed by implication.
Referring to CBIC’s own 2002 circular, the Court noted that event managers are expected to handle end-to-end execution - something absent in this case.
Final Decision
The Supreme Court allowed HT Media’s appeal and set aside the service tax demand.
It held that:
- Payments made to speaker booking agencies do not fall under “Event Management Service.”
- The Tribunal’s order confirming tax liability was legally unsustainable.
- No service tax could be levied on HT Media for the disputed period.
The judgment conclusively ends the dispute in favor of the media company.
Case Title: HT Media Limited v. Principal Commissioner, Delhi South GST
Case Numbers: Civil Appeal Nos. 23525–23526 of 2017
Decision Date: 16 January 2026
