Manoj Kr. Sharma (ASISST. MANAGAR ACCOUNTS) (28 Points)
20 April 2010We are a limited comnay and are paying rent for a warehouse Rs. 50000/- p.m.(Rs. 6,00,000/- annualy ). Now, he is demaning for service tax. I am in doubt that he can charge the service tax or not.
Please tell me the the figure rent, when a landloard is laible for charge the service.
Manoj Sharma
P.Bashista
(Advocate)
(367 Points)
Replied 21 April 2010
Threshold for the service tax is over 10,00,000/-.
In your case it might be possible that your landlord must be having more properties which he has given on rent and together the income (commercial rental income) must be crossing the Rs. 10,00,000/- limit. If that is the case then he will charge you service tax and he must be registered with the service tax department.
CAclubindia
