Service tax applicability on space selling

[Guest]

Is service tax applicable on space selling by advertising agency.

[Ravi Chopra]

In veiew of letter of ministry of finance F. No. 341/43/96-TRU, dated 31-10-1996, it is not laible to service tax. But now a days some contradicting judgements are comming. So you must decide the matter carefully and in the right context of the issue.

AI Summary

Service tax on advertising space faces uncertainty as earlier government guidance is now conflicted by recent rulings. An earlier administrative guidance concluded that the sale of advertising space by agencies was not subject to service tax, but subsequent conflicting judicial decisions have created uncertainty; liability must be assessed in the specific factual and legal context.