Exemption availability on particular category or cumulative turnover

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Dear Sir, I had a query regarding Service Tax on Immovable Property , As per Finance Act 2007 Service Tax has been Imposed on Service for renting of Immoveable Property w.e.f. 1st June 2007 : Our Company has rented our premises(Built up Area 2066 sq ft) to other Company @Rs 40 per sq ft Monthly Billing : Rs 82640 Billing from June 07 to March 08 : Rs 8,26,400/- Please advise on following : 1) Presently Our Company is registered with Service Tax under category as ' Scientific and Technical Service¡' , Whether the Limit of 8,00,000/- turnover is relating to each particular service or cumulative turnover of all category of service provided by our Company. 2) Whether company will be required to charge service Tax on this transaction? 3) If Yes ? Whether Service Tax is to be charged after turnover of 'Service on Immovable property¡' crosses 8 lacs or right from June 07. Thanks and Regards Prashant Bhole Thanks and Regards

AI Summary

Service Tax on Renting Property: Rs. 8 Lakh Exemption is Cumulative, Applies to All Services from June 2007 A query was raised about the applicability of service tax on renting immovable property under the Finance Act 2007. The company rents out a property and is concerned about whether the Rs. 8 lakh exemption limit applies to individual services or cumulatively. Two responses clarified that the exemption limit is cumulative for all services provided, not service-specific. Service tax must be charged from June 2007, as the renting of immovable property became taxable from that date. The company must charge service tax if the cumulative turnover exceeds Rs. 8 lakhs, and any uncharged tax must be collected once this threshold is crossed.