Hostels collecting rent with mess charges

[Manjeet singh Saini]

Hostels who are collecting rent (including or excluding mess charges) are liable for service tax or not?

[KASTURI SETHI]

Exempted vide Notification No.25/12-ST dated 20.6.12 as amended vide Notification No.6/14-ST dated 11.7.14 ( See Entry No.9 amended )

AI Summary

Service tax exemption for hostel rent, whether including or excluding mess charges, applies under applicable exemption notifications.
Receipts characterised as hostel rent, whether including or excluding mess charges, are covered by an express service tax exemption under Notification No.25/12 ST as amended by Notification No.6/14 ST, so such hostel rent is excluded from taxable services unless those notifications are changed.