Service Tax on amount received from renting of Hoarding

Advertising Service. Taxable for putting up hoardings anywhere inside or outside the premises. Even if you release a baloon with  advertisement on it and anchor it on club premises it is taxable under Advertising Service in any manner.

  Hi Sunil,, thanks for ur reply... actually the fact of the present case is that we are a club and we have a hoarding in our premises which has been given on rent to an advertising agency.... that is we ourselves are not advertising agency but are only receiving rent. So in this case will we collect service tax from the adversing agent..?

You are confusing between TDS and Service Tax. In TDS the sections are different for the Renting and Contract. In Service Tax, services related to Advertising in ANY MANNER.

The Provision was as follows a few years back:-

If your client is Advertising Agency who is charging Service Tax to customer, then there should not be required from you any service tax. However if the customer pays you direct, then you have to charge. You better read the section for Advertising Agency and see if this provisions still exist. It was there before Input Service Norms. I do not remember if they changed it. If they have then you would charge your advertising agency the tax and he would claim the amount you paid as his credit of tax.

Your renting the hoarding makes no difference. If you rent it out to a Company (not Advertising Agency) to put their ads, you have to charge service tax.

 Thank you sunil