Become a Govt. Certified GST Practitioner in just 60 hrs. Register Now!

Service tax

sasi dass (Audit Asst) (51 Points)

08 May 2016

Mr.A. has received Commercial Rental Income of Rs.15 lakhs for the year 2013-14 with Service Tax amount and Next Year, due to Vacant of two property his rental income decreased to Rs.9,00,000/- But, Service Tax received from his tenant and next year also same is continued. Now I have a doubt about during the 2016-17, Is service Tax is applicable because of last year Rental is received is below Rs.10 lakhs.

Reply
Follow
Share

1 Replies

Mir Irshad Ali (Partner) (192 Points)
Replied 08 May 2016

As per Notfn No. 33/2012-S.T [Para 2(viii)] exempts taxable services of aggregate value not exceeding ten lakh rupees in any financial year from the whole of the service tax leviable thereon subject to condition that - the aggregate value of taxable services rendered by a provider of taxable service from one or more premises, does not exceed ten lakh rupees in the preceding financial year.

If the taxable value for 2015-16 is less than Rs. 10 lakhs then exemption from service tax can be availed in 2016-17 upto Rs. 10 lakhs.