Liability of service tax on renting of immovable property

[sunil jain]

In case of renting of property can the service tax be enforced through legal action on the tenant even though the rent agreement is silent on the isuue.Pl. reply in view of section 12B of Central excise act and section 68 of service tax

AI Summary

Service tax on tenants unenforceable if rental agreement is silent on the issue; mutual agreement required for reimbursement. A query was raised about the enforceability of service tax on tenants when a rental agreement does not explicitly address this issue. The response clarified that there is no legal provision requiring the tenant to reimburse the service tax liability of the service provider if the contract is silent on this matter. However, it was suggested that the tenant may choose to reimburse the service tax if both parties mutually agree to do so.