Service Tax on Renting of Building to a person who is providing hostel services

[Guest]

Sir,

Renting of Building to a person who is providing hostel services to students, any way the hostel does not connected to any educational institution.

My question is renting of building, to the person providing hostel services, is liable to service tax? in this case Renting of building to hostel is residential or commercial  service.

Thanking you

Srinu

 

[YAGAY andSUN]

W.E.F. 01-04-2013, Service tax is applicable on Renting of immovable property and auxiliary education services provided by educational institution.

Prior to 01-04-2013 it is not applicable.

AI Summary

Service Tax Applicable on Renting for Hostel Services from April 2013, Not Before; Clarifies Residential vs. Commercial Use A query was raised regarding the applicability of service tax on renting a building to a person providing hostel services for students, with the hostel not being affiliated with any educational institution. The question was whether this rental is considered a residential or commercial service. The response clarified that from April 1, 2013, service tax applies to renting immovable property and auxiliary education services provided by educational institutions, but it was not applicable before this date.