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deduction of municiple tax from gross value in service tax

jatin kapoor (CA FINAL) (1586 Points)

09 April 2010

pls anyone can guide me? suppose a property against which rental income is Rs. 700000/- p.m. and the owner has paid municipal tax of Rs. 3100000/- against all arrears till date .can the owner claim deduction of municipal tax against rent and get deduction in service tax.

freinds pls reply me and solve this query.

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3 Replies

Krishan (Service) (633 Points)
Replied 09 April 2010

Yes. He can claim the deduction of the municipal tax paid during that year...

Coz the deduction is allowed on the basis of payment of municpal tax by the owner....

Service tax point??? plz explain...

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saranraj (CA FINAL) (419 Points)
Replied 09 April 2010

Originally posted by : ZoO ZoO
	Yes. He can claim the deduction of the municipal tax paid during that year... Coz the deduction is allowed on the basis of payment of municpal tax by the owner....