My client is rendering renting of immovable property services for the past many years. The rent received p.m. was 15000/- till Nov 2013 and there was no liabilty for service tax. However the rent was revised from Dec 2012 retrospectively from 15000/- to 100000/- and was received in December 2013 totalling (100000*12)=12,00,000. As the rent received exceeds 10 lac the assesse is laible for service tax. Assesse will also get threshold limit of 10 lakhs in first year The query is for which period he is required to file St-3?
04 January 2014
FIRST YOU GO FOR REGISTRATION UNDER SERVICE TAX WITHIN 30 DAYS FROM THE DATE OF IN WHICH IS YOU LIABLE TO PAY TAX
IN YOUR CASE YOU ARE LIABLE TO PAY TAX IN DECEMBER MONTH SO FIRST YOU GET REGISTERED AND AND THIS IS YOUR FIRST YEAR SO YOU PAY TAX ONLY MORE THEN THREASHOLD LIMIT (I.E. 200000 LAC AMOUNT ONLY), AND YOUR RETURN PERIOD IS FROM THE DATE OF REGISTRATION TO 31 ST MARCH 14 AND DUE DATE IS 25 TH APRIL
04 January 2014
As per my view there is NO service tax liability till januarary 2014.Reason for my answer: 1.Rent is revised from Dec,2012.Therefore total rent for the financial year 2012-2013 would have been 15000*8+100000*4=5,20,000 which is below the 10 lakh limit so no service tax payable. 2.As far as current year is concerened 01.04.2013-31.12.2013 Rent(Value of taxable service is 100,000*9=9,00,000 Now as the taxable turnover has reached 9,00,000you should get registered under service tax .And when the rent exceeds 10,00,000 ,you should pay service tax on the amount of rent in excess of 10,00,000.
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