Service Tax on Furniture Rent
This query is : Resolved
06 May 2008
Sir,
We are receiving Rent from Office and Furniture and We have a separate agreement for both We are receiving Separate Cheque for Rent on office and Furniture from F.y. 2006-2007 We are Charging Service Tax on Rent on office since it is a immovable property
Whether we have to Charge a Service Tax on Furniture for which we are receiving the rent if yes than from which year we have to pay service TAX
Please suggest
We are receiving Rent from Office and Furniture and We have a separate agreement for both We are receiving Separate Cheque for Rent on office and Furniture from F.y. 2006-2007 We are Charging Service Tax on Rent on office since it is a immovable property
Whether we have to Charge a Service Tax on Furniture for which we are receiving the rent if yes than from which year we have to pay service TAX
Please suggest
06 May 2008
It appears that you are right in not charging service tax on furniture.
Tax on hire charges on movable properties, if vat is not applicable, is proposed to be imposed in the Finance Act'08. After the relevant notification is issued you need to charge service tax on renting of furniture also.
However, in the instant case, it appears that, VAT is applicable, as possession and control of the furniture is passed on to the tenant. In that event no service tax is applicable.
Please check, whether VAT is applicable. That is the decisive factor.
Tax on hire charges on movable properties, if vat is not applicable, is proposed to be imposed in the Finance Act'08. After the relevant notification is issued you need to charge service tax on renting of furniture also.
However, in the instant case, it appears that, VAT is applicable, as possession and control of the furniture is passed on to the tenant. In that event no service tax is applicable.
Please check, whether VAT is applicable. That is the decisive factor.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- CPC Processing IT Return for AY 2023-24 without recognizing the Taxation Option under New Regime
- Applicability
- Is Aadhar PAN linking required for opening bank account?
- Where to show the RCM on Rent paid to unregistered landlord
- RCM - commercial rent paid to URP under GST
- Offsetting interest income against derivative trading losses
- Application of 115BAC
- GSTR-3B - Do I file nil when there is no sale but I've bought raw materials
- TDS NUMBER SURRENDER
- Legal heir raised refund , but refund issued to the closed account of deceased.
- Capital gain on flat sale by nri, rate is 12.5% wo indexation or 20% with indexation?
- Payable outstanding for years disallowance
- Issue of gst e invoice
- Interchangeable words in accounts
- Adjusted profit/Loss in the case of LLP and Pvt. Ltd.company
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
- Regarding Resignation by Auditor from Pvt. Ltd.
Trending Online Classes
-
Excel Mastery Program
CA Rishabh Pugalia
CAclubindia
