Service tax on renting

rachit (student) (57 Points)

01 February 2012  

Hi all. Is there any circular/ notification  or case law which is not allowing a individual SSI exemption to the each individual on the share of rent received by him,where the total cumulativer rent from the said property exceeds Rs. 10 Lac in a FY.

Example: If there are 5 different holders of a property with a predifined equal share and each one of them is getting Rs. 8 lacs p.a i.e Rs. 45 Lacs for the entire property. Then, will the individual holders would get SSI exemption as there respective share is below Rs 10 lacs or would non of them shall be eligible for SSI exemption on the ground that total rental value has exeeded Rs 10 lacs.

 

Please reply asap, with reference to some earlier judgements or cirulars to be appreciated.

 

Rachit Goyal