https://www.taxtmi.com/article/detailed?id=7933 Upfront payments for leases must be classified: lease premium is distinct from periodic rent because it compensates for transfer or acquisition of leasehold interest rather than continued use. Recurring lease rent is generally taxable as renting of immovable property, while one time premiums have received mixed treatment-some decisions treating them as non taxable capital receipts and others treating them as taxable lease consideration. Legislative exemption for certain state industrial bodies' long term lease premiums exists, and under GST the payment's legal character governs taxability. en-us Sat, 24 Mar 2018 12:52:53 +0530 Sat, 24 Mar 2018 12:52:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=7933 Upfront payments for leases must be classified: lease premium is distinct from periodic rent because it compensates for transfer or acquisition of leasehold interest rather than continued use. Recurring lease rent is generally taxable as renting of immovable property, while one time premiums have received mixed treatment-some decisions treating them as non taxable capital receipts and others treating them as taxable lease consideration. Legislative exemption for certain state industrial bodies' long term lease premiums exists, and under GST the payment's legal character governs taxability. Articles Goods and Services Tax - GST Sat, 24 Mar 2018 12:52:53 +0530 https://www.taxtmi.com/article/detailed?id=7933