Issue related to taxability. of 'tenancy rights' under GST.

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....one. Shimla-9, H.P. 2. The Jt. Commissioner of State Taxes and Excise Central zone, North zone, Flying squad NZ/ SZ/ CZ. 3. The Director (Directorate Treasuries, Accounts and Lotteries) Block No-23 SDA Complex, Kasumpati, Shimla- 171009. 4. The Dy. Commissioner of State Taxes and Excise, Shimla, Solan, BBN Baddi, Sirimour, Bilaspur, Hamirpur, Mandi, Kullu, Chamba, Kangra, Revenue Distt Nu....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....nst tenancy premium which is also known as "pagadi system" the tenant acquires, tenancy rights in the property against payment of tenancy premium (Pagdi). The landlord be owner of the property but the possession of the same lies with the tenant. The tenant pays periodic rent to the landlord as long as he occupies the property. The tenant also usually has the option to sell the tenancy right of the....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....o GST. It is a form of lease or renting of property and such activity is specifically declared to be a service in para 2 of Schedule II i.e. any lease, tenancy, easement, licence to occupy land is a supply of services. 4. The contention that stamp duty and registration charges is levied on such transfers of tenancy rights and such transaction thus should not be subjected to GST. is not relevant....