Service tax on pvt road construction

Dear Ritesh,

The road constructed within the layout is not only meant for the purchsers of sites alone , it is also open for public so, this exemption should be provided.

secondly, the land development authority (Govt authority) will not allow to form layout without creating such facilities , hence this exemption should be eligible . but it is unfortunate that departmental offiers are not accepting this view.

Thanks

Dear Venkat,

Agreed with your view.

Suppose in the layout the boards of 'This is a private road' are made as well as the construction, repair and  maintainence of the total area is under company. Muncipality could not intervene in layout. in any way.

I believe such a road should not be considered to be a road' used by general public' as these roads are generally used by the colonies, and are constructed for this specific purpose only. If the society wants such roads to be prevented from being used by the general public or tress passers, then they can do so.

Hence, exemption in such case, in my opinon, should not be extended.

In such a case, i go with Vikas sir.

Yes. if that road is constructed privately, then it is better to discharge service tax on such portion as well.