Liability of Service tax on providing Air conditioning facil

Sir, We had installed one DG set and AC plant in the premises and are providing Air conditioning facility and DG Set (power backup) facility to the shops (which are out rightly sold) / to our tenants who has taken space in this commercial building as per the agreement.  We are receiving the fixed charges from the shopkeepers at the fixed rate since 2004. Electricity charges incurred in running the air conditioner and DG set is born by us.

 

Local service tax authorities is directing us to provide  details of amount collected from the clients for providing Air conditioning facility and DG Set (power backup)facility  and to pay service tax under maintenance and management of immovable property category w.e.f.01-05-2006.

 

Kindly advice,

whether we are liable to pay service tax?

And under what category ( whether  under BAS or Commissioning or Installation or MRS or supply of tangible goods?

And from which date?

  

Replies (1)

Examination as under:

1) Not installation and Commisioning since shop keepers not concerned.

2) Not MMR as asset not of shopkeepers

3) Not under supply of tangible goods as the goods are not provided only the output is provided.

4) Not under BAS as not provided to any thrid party on behalf of the client not is it a customer care service.

Only Possible under Business Support services wef 2005. This requires more study. Maybe the agreement can shed some light.

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