Service tax applicability

[Guest]

Sir, This is with reference to amendment and extention of scope of 'Renting of immovable property' in this finance bill , I have a query Whether service tax applicable in view of above changes to any commercial concern i.e Company/ malls /society etc when they are in business of a) Milti level car / scooter parking in covered area ( i.e earmarked area in malls / co. means for parking perposes ), parking charges is on hourly basis and it is open for general public b) Daily parking in open space and charging hourly basis rate from general public? Whether your answer will be diiffrent if the concern let out its parking slot for fixed terms i.e for specific client and for specific time? Thanks Manoj

AI Summary

Service Tax Not Applicable on Renting Parking Facilities, Both Hourly and Fixed-Term, Under Current Definition. A query was raised regarding the applicability of service tax on the renting of immovable property, specifically concerning parking facilities. The question addressed whether service tax applies to commercial entities like companies, malls, or societies that offer multi-level or open-space parking for the general public on an hourly basis. Additionally, it inquired if the tax situation changes when parking slots are rented out for fixed terms to specific clients. The response clarified that land used solely for parking purposes is not subject to service tax under the current definition.