PHOTOGRAPHY SERVICE

Date of introduction: 16.07.2001 vide Notification No.4/2001-ST dt.09.07.2001

Definition:

“Photography” includes still photography, motion picture photography, laser photography, aerial photography and fluorescent photography. (Section 65(47) of Finance Act, 1994 as amended)

“Photography studio or agency” means any professional photographer or a commercial concern engaged in the business of rendering service relating to photography.

 (Section 65(48) of Finance Act, 1994 as amended)

Taxable event & Scope service:

Taxable service means any service provided to a customer, by photography studio or agency in relation to photography, in any manner.

The services which will come within the purview of Service Tax are still photography such as photographing persons or other subjects in studios or other locations, passport or identification photographs, fashion photos; industrial photographs of machine and buildings etc; photographic service for advertising display, brochures, news paper advertisement, catalogues; photography of any live event such as weddings, receptions, conventions, fashion shows, sports and news events (excluding news agency services, that is, press photographers are excluded); aerial photography such as photographs of landscape, structures and other surfaces from aircraft or helicopters with the help of cameras mounted on such aircraft or helicopter; laser photography to create holograms; motion picture photography, also known as cinematography to make films, which involves the general composition of a scene; the lighting of the set or location; the choice of cameras, lenses, filters, and film stock; the camera angle and movements; and the integration of any special effects; fluorescence photography using ultraviolet rays to irradiate a surface or substance to identify dyes, stains, and markings, specific chemical substances, and fluorescent components in microscope specimens; and any other kind of special photography service. Also covered are the photography services such as restoration of old photographs, processing and developing of photographic films and printing of photographs etc.

The photography services are rendered by still photography studios, still film processing laboratories, cinematographic studios/labs who undertake motion picture photography and processing of cin e films, holography studios (laser photography) who make holograms, aerial photographers, industrial photographers, etc.

(Ministry’s F.No.B11/1/2201-TRU dt. 09.07.2001)

Value of Taxable service:

The value of taxable service shall be the gross amount charged by the service provider for such service rendered by him but dose not include the cost of unexposed photography film sold to the client during the course of providing service.

(Section 67 of Finance Act, 1994 as amended)

The service provider claiming benefit of the cost of film should be advised to show them directly on the invoices alongwith description and particulars of the film, otherwise the claim will not be consider as admissible. No other cost (such as photographic paper, chemicals etc.) is excluded from the taxable value.

Exemption and Exclusion:

Service provided to a customer in relation to still photography by a photography studio or agency, which is not registered under the law relating to Shops & Establishment or any other law of a State for the time being enforced from the whole of the Service Tax leviable thereon under section 66 of the Finance Act, 1994, vide Notification No.6/2001-ST dt.09.07.2001.

Accordingly, service providers who are registered under various States/Municipal laws relating to Shops and Establishments or any other law of State which is in force for the time being, for carrying out commercial activity only are liable to Service Tax.

(Ministry’s F.No.B11/1/2001-TRU dt.09.07.2001)

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