effective date for renting of vacat land

[sv bhasker]

Retrospective legislation was brought in through Section 76 of the Finace Act 2010 in respect of renting of immovable property service from 1.6.2007. Through the same Section, explanation to immovable property was expanded by inserting  clause(v) by including vacant land for commercial purposes in near future. What is the effective date for renting of vacant land for commercila purpose. Is it 1.6.2007 or 1.7.2010? Pl reply with suitable  basis

[NEERAJ KUMAR, RANCHI]

effective date for renting of vacant land where construction for commercial purpose is to be done is 01.07.2010 only.

[sv bhasker]

Thanks Mr Neeraj for the reply. Some authority may be cited as it is argued that vacant land is included while explaining immovable property in the pharse by renting of immovable property service  which is effective from 1.6.2007.

[YAGAY and SUN]

Vacant land given on lease or licence for construction of building or temporary structure at a later stage to be used for furtherance of business or commerce, was inserted by Finance Act, 2010 (14 of 2010) and the effective date was 01-07-2010.

[NEERAJ KUMAR, RANCHI]

Yes, You may see item V to explanation 1 to Section 65 (105)(zzzz), which was added w.e.f. 01.07.2010. Also letter D.O.F No. D.O.F.No 334/1/2010-TRU dated 26.02.2010 may also be referred.

AI Summary

Renting of vacant land: inclusion as taxable immovable property service after statutory amendment, effective from the 2010 amendment.
The Finance Act, 2010 inserted an item expanding the explanation to immovable property to include vacant land given on lease or licence for subsequent commercial construction; this inclusion operates via the amendment (item V to explanation 1 to Section 65(105)(zzzz)) and is effective from the commencement of the 2010 amendment, making vacant land taxable for renting for commercial purposes only from that date.