Leasehold Rights Transfer: Not Sub-Leasing, Classified as Miscellaneous Service, 18% GST Applies.

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....Taxability - activity relating to Sale/Transfer of leasehold Land and building and also to obtain permission for such sale - GST on upfront called premium amount as a cost of land and building - The AAR held that, the activity of assignment is in the nature of agreeing to transfer one's leasehold rights. It does not amount to further sub-leasing, as the applicant's rights as per the Deed stands extinguished. Neither does it create fresh benefit from land other than the leasehold right. It is like a compensation for agreeing to do the transfer of the applicant's rights in favour of the assignee. It is a service classifiable under Other miscellaneous service (SAC 999792) and taxable @ 18%.....