Service tax on storage and warehousing of seeds

WE HAVE 70000 SFT OF WAREHOUSE AND IT IS LEASED OUT TO SEED MANUFACTURING COMPANY TO STORE THEIR AGRICULTURAL SEEDS.  I HEARD THERE IS AN EXEMPTION FOR AGRICULTURAL PRODUCTS STORAGE. CAN WE GET FOR AN EXEMPTION FOR THE SAME.

PLEASE ADVICE

 

DVK RAJU

CONTACT: 9948022333

Replies (1)

Sir,

Section 66D (service tax) of Finance Act 994, specifies services which are non taxable (Negative List). Relevant services is as follows:-

(d) Services relating to agriculture or agricultural produce by way of -

      (v) Loading, unloading, packing, storage or warehousing of agricultural produce.

Base on your brief fact, in our view Service Tax will not be applicable. But study of detailed fact & circumstances your case need to done to give proper advice.

 

 

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