Renting of Immovable Property

[DEVKUMAR KOTHARI]

Service tax notifications are issued at Delhi and they are applicable all over India. The issuign authority is GOI or Board. If a notification is held invalid by any court, then the notification becomes not applicable all over India. Particulary if a notification issueda ta Delhi, and is also held invalid, by Delhi High Court (e.g. in case of commercial renting), then the judgment of Delhi High Court is applicable all over India. This is becasue the notification itself has lost its existence. Other branh\ches of ST departmetn can levy and collect tax only when there is a bvalid notification in force. When notification is not in force, anay branch of ST departmetn cannot enforce any such notification which has been held ultravirse. In my view, the principal of limited binding nature in area of jurisdictioan of court will not apply in such a case.

AI Summary

Service tax notifications apply nationwide; invalidation by court affects entire country due to uniform central levy rules. A discussion on the applicability of service tax notifications across India highlights that such notifications, issued by the Government of India, are uniformly applicable nationwide. If a notification is declared invalid by a court, such as the Delhi High Court, it loses its enforceability across the country. This is because service tax is a central levy, and there cannot be different interpretations in different regions unless specified. The Delhi High Court's decision on commercial renting, consolidated by the Supreme Court, holds nationwide validity, ensuring uniform application of the law.