Applicability of service tax on water and parking charges!
This query is : Open
Madhusudhana Navada
(Querist)
01 August 2013
We have let out Commercial Building to 10 different tenants and in the lease agreement we clearly mentioned Rent, Maintenance Charges, Parking Charges (Covered), and Fixed Water charges. Whether Service Tax will applicable on Parking Charges (Covered Area) and Fixed Water charges?? Whether we have to raise two separate bills for rent and Maintenance Charges? We would like know whether Water charges and Parking Charges Collected will come under Maintenance Charges? Please clarify.
CA Suresh Jain
(Expert)
02 August 2013
A plain reading of your query suggests that the charges taken by you are all taxable.
To save on tax on maintenance charges the tenants to take the responsibility of maintenance, form an association or without even an association contribute their share to total expenditure. If association is formed the service tax shall be applicable if amount payable exceeds Rs. 5000.00 per month.
To save tax on water expenses the same should be charged on actual
To save on tax on maintenance charges the tenants to take the responsibility of maintenance, form an association or without even an association contribute their share to total expenditure. If association is formed the service tax shall be applicable if amount payable exceeds Rs. 5000.00 per month.
To save tax on water expenses the same should be charged on actual
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Late Filing Fee Waiver for Q1 Form 144 (Earlier 27Q) – Transition to Income-tax Act, 2025
- GST input credit on commercial property
- TDS on Dashcam rent and allied services
- Working on Gold wastage during Melting of old gold jewellery
- GSTR-9C filing
- Import Order Cancelled.
- GST ITC as per notification 12/2023- central tax
- Urd purchase entry in tally prime
- Royalty payments to the Mining Department for procurement of murum - GST input
- Applicability of tax on invoice
- Positive Balance in RCM Liability/ITC Statement – Commercial Rent RCM – Guidance Required
- Subject: Legal Remedy for Removal of Income Tax Demand for AY 2024–25 – Charitable Trust
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
