who is liable to pay service tax in case of commercial rented property in india?

Answer 1

The basic concept of the Service Tax is to collect Service Tax by the service provider from the person whom the service is provided or who has to pay the bill. Therefore, the tenant or with whom rent agreement has been executed by the landlord is supposed to pay the service tax in case of commercial rented property. However, it is the duty of the landlord to collect the service tax alongwith the rent and deposit with the treasury in time.

Answer 2

service provider is liable to pay service tax; i.e. the person renting out commercial property.
However, the service tax on commercial renting will be applicable after Rubber Stamp of president on the Finance Bill when it will become Finance Act 2007. Further, there will be no service tax if Rent from all the commercial properties owned (all taxable services billing)by the service provider is less than Rs 8 Lakh in a financial year.

Answer 3

2

Answer 4

The Landlord who rented out his property is liable to pay service tax to the govt.

BUT.. like sales tax, the burden of Service Tax can be shifted to the service buyer... so the landlord can charge the service tax to the one paying rent.

Answer 5

Hey! Are you the person who has given the idea of taxing the commercial rented property to the Finance Minister recently? Wait for another year he will impose service tax for all mothers for giving milk to their children. Ofcourse he will allow the mothers to collect the same from the child when he growsup.

Answer 6

the owner of the property is liable to pay it, but service tax is a indirect tax hence it can be passed on to the person whom you rent in out (the lessee).

Answer 7

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