banner_ad

Service tax on renting of cell phone towers

This query is : Resolved 
Profile Image

Profile Image

(Querist)
02 July 2010 This is a company dealing with construction of cell phone tower & renting the towers to the telephone service providers.The company is charging service tax on the following-
1. Fixed Rental portion for the tower
2. Reimbursements of diesel and electricity charges from the client

The company is charging Service tax @ 10.3%. Is there an option for the company to opt for compounding or abatement scheme.
Profile Image

Shyam Lal Naik

Profile Image

Shyam Lal Naik (Expert)
02 July 2010 The company is charging service tax under the category of "supply of tangible goods for use". There is no compound/abetment scheme under this category.

In my view, diesel & electricity charges can be claimed as exempt under pure agent basis. Needs through examination of the contract.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


CCI Pro
Join CAclubindia WhatsApp Finance Community & stay updated with the latest TAX news, compliance alerts and important updates all in one place!


Similar Resolved Queries


loading


Unanswered Queries


banner

Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Subscribe Now

Follow us
add to google news


Answer Query



Quick Links



Browse by Category




Latest Job Openings

View all
Company
ARTICLESHIP 31 May 2026
Article Assistant

KPRS And Associates

New Delhi

CA Inter

View Details
Company
23 May 2026
Article Assistant

Geeta Manchanda & CO.

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 04 June 2026
Article

Rakhecha & Co.

New Delhi

CA Inter

View Details
Company
Featured 27 May 2026
Lead Conversion Executive / Sales Closing Executive

SMJ global advisors pvt ltd

New Delhi

B.Com

View Details
Company
26 May 2026
Audit executive

vdsr & co LLP

Chennai

CA Inter

View Details
Company
29 May 2026
Finance Head

Bhawar Sales Corporation

Chennai

Graduate (Any)

View Details
Company
Featured 26 May 2026
Account Executive

SMJ global advisors pvt ltd

New Delhi

B.Com

View Details
Company
26 May 2026
CA / MBA (Finance) / CMA / M.Com (Finance)

Sri Aurobindo Gnostic Centre of Education

New Delhi

CA

View Details