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Provision of Cancellation of RC

Service Tax (Legacy) 598 views 1 replies

We have initially opted for registration against the Renting of the Immovable Property Service as the total rental income ina year exceeded Rs.10.00 Lacs.........

Recently we had got our RC to include for further two new services. the Total amount of Service put together in both of the new services would not exceexd the service tax registration thrushold limit.  However we had to include the two new services as it comes under the preview of say "  Values of  Services under different category puttogether is more than the registration thrushold limit." 

But now in consideration of the SC verdit treating the RIPS as uncontitutional and in the same view if the department removes the RIPS from the list of Services under the Service tax rules, my total value of services including the two new services will be well below the registration thrushold limit of Rs. 9.00 Lacs in a year

In That case,  can i cancell the Registration completely including the two new services, whose value in a year wont cross the thrushold registration limit at any point.

Kindly adv

Replies (1)

Yes you can after considering the final decision. It is only the delhi high court ( not SC) which has done so and newspapers cannot be fully relied on. In fact the matter is pending before SC. The dept. is likely to approach the SC in this regard.

Ideally you continue file the returns claiming the exemption under 6/2005 of Rs 10 Lakhs and indicate rent as not liable till it attains the clarity.


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