Legal Question in Business Law in
Hi, I would like to knw the legalities for lucky draw system ? is it legal to accept money as participation fee towards the lucky draw n organise a lucky draw n out of some hundred thousand members one is selected thru the lucky draw and the prize is given to the winner...
so wuld like to knw more on it if done on an individual basis or if from the business point of view ..so wt are the laws for the same ...what one shuld abide n follow ... hw shuld one go about
also if any tax applicable on the profits made by the organiser ? wt all taxes wuld one need to service tax ? income tax?? any registration required any permissions from the police or any government authorities required ?
i wuld really appreciate if u can consult n share ur expertise on the same it wuld b a great help
thanks & regards
Rafi
1 Answer from Attorneys
Dear Rafi,
The activity described by you is covered under the Service head " Promotion, Marketing or Organizing of Games of Chance, Including Lottery ". The above services are taxable under service tax with effect from 1.7.2010. therefore any person providing the above services would be called as sevice provider and shall be liable to pay the service tax to the department subject to fulfilment of some conditions, like thresh hold limit, registrations etc
For proper opinion and details you may contact us at +91 9811617186
or log on to www.mavenlegal.net.
Taxation & Corporate Law Legal Advisors
Regards
Related Questions & Answers
-
Can a person have book binding work or cloth dying work at his residence Asked 9/13/10, 2:18 pm in India Business Law
-
I am planning to start an mlm in kerala. could you help me with legal advices. Thomas Asked 9/13/10, 3:02 am in India Business Law
-
If there are 4 partners in partnership firm. What is procedure to withdraw amount... Asked 9/02/10, 1:17 pm in India Business Law
-
Wherein a company is dissolved & assets are distributed amongst shareholders... Asked 9/01/10, 10:20 pm in India Business Law