SERVIE TAX ON RENTING OF IMMOVEABLE PROPERTY

[Guest]

DEAR SIR,

WHAT WILL BE THE RATIO OF SERVICE TAX IF WE RENT OUR IMMOVABLE PROPERTY TO OTHER. IF WE ARE BILLING TO THE PARTY CHARGING THEM 12.36% OF ST ON THE RENT.

IF THERE ANY % RATIO ON RENT OF IMMOVABLE PROPERTY KINDLY LET US KNOW

 

ROHIT R RAO

 

[YAGAY andSUN]

Tax rate would be 12.36% on the Gross amount less property taxes.

[RAM SHARMA]

Dear Sir,

Can we take service tax credit on Renting of Immovable Property.

Thanks

AI Summary

Service tax on renting of immovable property applies to gross rent net of property taxes; input credit question arises. Service tax is indicated as leviable on rent for letting immovable property at the rate stated in the correspondence, with the taxable base being the gross rent amount less property taxes; the discussion separately asks whether input/service tax credit can be claimed in respect of renting of immovable property, but does not supply a definitive ruling on credit eligibility.