Service Tax no

[PONNADA B K RAVIKUMAR]

We are paying Rent for Delhi Office to Two Owners (Wife and Husband) against one agreement, There are Submitting Two Bills having different PAN No’s Where as there Service Tax No is one, which is based on Husbands PAN NO., But both are charging service tax based on that same Service Tax No,, it is possible to collect the service tax by different parties for single Service Tax No.

[Rama Krishana]

It is a case of malpractice and should be avoided. It may lend the service receiver as well as service provider in to difficult situation since for the purpose of serivce tax service provider (land loard) is claiming as single assessee whereas for the purpose of income tax they are claiming as separate assesee. If you justify service tax, you can not justify TDS which should be on the total  amount against single PAN. Therefore, ask the service provider either to obtain separate service tax registration number in both the names or take the rent in single name after deducting TDS under single name.

AI Summary

Service tax registration must align with PAN and TDS; obtain separate registrations or accept rent in a single name. Two co-owners issue separate rent bills under different PANs while using a single service tax registration tied to one PAN; this practice is described as malpractice because it creates an inconsistency between service tax (single assessee) and income tax (separate assessees) and complicates TDS, which should be applied to the total rent against the correct PAN. The recommended options are separate service tax registrations for each co-owner or receiving rent in a single name with TDS deducted under that PAN.