Service tax clarification

This query is : Resolved

DHEERAJ SAWHNEY (Querist)
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29 November 2011 DEAR SIR

CAN YOU GIVE ME SIMPLE ADVICE ON SERVICE TAX

I HAVE A PROPRITER SHIP COMPANY WHICH IS REGISTERED IN SERVICE TAX AND HAVE GROSS RECEIPTS FOR MORE THAN 10 LACS AND NET RECEIPTS ABOUT
2-3 LACS

WHICH ARE ADDED TO MY PERSONAL INCOME

I HAVE COMMERCIAL PROPERTY ON RENT FOR Rs 2,30,000 P.A ( ALSO PART OF MY PERSONAL INCOME )

DO I HAVE TO PAY SERVICE TAX ON SAME ( RENTAL INCOME ) @ 10.3 % ( IF YES THEN CAN I RECOVER FROM TENANT )

I HAVE HEARD THAT THERE IS NO SERVIVE TAX TILL 10 LACS OF RENT RECEIVED .

I WILL BE GRATEFUL IF YOU WITH YOUR ESTEEM KNOWLEDGE CAN GIVE SOME COMMENT

THANKING YOU

DHEERAJ SAWHNEY ( astrovacations@gmail.com

9311133345

Shaleen Shah

Shaleen Shah (Expert)
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30 November 2011 The threshold limit of Rs.10 lacs is for all taxable services put together & not service-wise. Hence, assuming that your gross receipts of Rs.10 lacs are towards taxable services, the rent received from your commercial property will be taxable fully.

Moreover, the exemption limit of Rs.10 lacs is available only if the taxable services in the immediately preceeding year does not exceed the threshold limit.