service tax on commercial rent

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This query is : Resolved

sourabh (Querist)

09 October 2009 is service tax to be charged on commercial rent after the HC judgement???

If not then, if vendor has charged how can we ask for refund?

Guest

Guest (Expert)

09 October 2009 no, It cant be charged now. If paid, it can be claimed as refund of service tax paid.

CA Suresh Choudhary

CA Suresh Choudhary (Expert)

09 October 2009 Agree with expert.
Aftter judgement of high court it is unconstitutional if ST is charged on the rent of Commercial property.

And if already paid then can be claimed as refund.

Nazir

Nazir (Expert)

09 October 2009 dear experts,

i agree with your comments, as far as my knowledge is concern, IT dept hasnt issue a notification against this, how much it is advisable to obey the high court decision??

Nazir

Nazir

Nazir (Expert)

sourabh

sourabh (Querist)

09 October 2009 Dear experts

Even i am with nazir, since there is no notification on wht basis we can say to the vendor not to charge service and we can take refund??
and also as my knowledge goes, CBEC has went to Supreme court.

CA. B.SRINIVASULU

CA. B.SRINIVASULU (Expert)

09 October 2009 As per the constitution the supreme court is the final authority, the high court decission can be reversed in supreme court. There are many instances where it has happened. Therefore it is advisiable to claim from the tenant and pay to the department and when the supreme court decides in favour at that time you can claim refund. Even if your tenat is not paying you raise the bill alongiwth service tax. Otherwise tommmorow you cannnot recover the same by filing a civil suit.

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