property dealer...........

hiiiii

whether property dealer is liable to service tax? which service??

they operates in 2 ways : one is simple by n sell and second is they helps u to buy/sell ur property n gets commission for the same ..... whether they r liable to service tax for this......????

 

Thanx in advance

Replies (2)

yes property dealer is liable to pay service tax under real estate service 

Originally posted by : Sharad Saini

hiiiii

whether property dealer is liable to service tax? which service??

they operates in 2 ways : one is simple by n sell and second is they helps u to buy/sell ur property n gets commission for the same ..... whether they r liable to service tax for this......????

 

Thanx in advance

THE PURCHASE AND SALE OF PROPERTY THAT IS DEALING IN PROPERTY IS A TRADING ACTIVITIES, THERE IS NO INVOLVEMENT OF PROVISION OF SERVICE TO ANY OTHER PERSON, HENCE THE QUESTION OF SERVICE TAX IS NOT ARISE. 

THE SECOND THING IS THAT IF ANY PERSON HELPING THE OTHER PERSON TO BUY OR SELL THE PROPERTY THEN IN THIS CASE HE IS ACTING AS A REAL ESTATE AGENT UNDER THE MEANING UNDER SECTION 65(88) WHICH IS COVERED AS TAXABLE SERVICE UNDER SECTION 64(105)(v) OF THE FINANCE ACT 1994.

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