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of <h1>Delhi High Court: Renting Property for Business Not Automatically Taxable Service; Department Appeals Decision, Revenue Protection Urged.</h1> The circular addresses a Delhi High Court judgment regarding service tax on renting immovable property for business purposes. The court held that renting immovable property does not automatically constitute a taxable service. Following this judgment, many taxpayers ceased paying service tax on such rentals. The Department has appealed the decision, and the matter is unresolved. Service tax formations nationwide are instructed to ensure revenue protection by encouraging taxpayers to pay the due service tax or taking legal measures to enforce payment.
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