Service tax query for students accomodation

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Wanted to know that if I am taking residential property on rent and yearly rent is more then 10 lac.. So do I need to pay service tax? If the same property if I sub lease to college students for residential purpose for one year and I am charging rent less then 1000 per day then do I need to charge service tax from them? Please let me know ... Thanks
Replies (8)

AS PER NEGATIVE LIST , RESIDENTIAL HOUSE LETOUT FOR RESIDENTIAL PURPOSE IS EXEMPT FROM SERVICE TAX.

Hi Kamlesh,

Renting of residential property is not covered under Revere charge. So, you dont have to pay service tax.

And if you are giving that property to college students for residential purpose, then it will not be known as renting so it will not be covered under negative list. But, as the (declared tariff) rent is less than Rs. 1000/-, it will be covered under Mega Exemptions vide notification no. 25/2012.

I hope your doubt is resolved.

dear sir,

If you are renting the residential property as per service tax it is include in negative list.

Thanks for many reply. One more Question...

if i am reciving rent from college students more then 10 lacs and i am already paying service tax on my other bussiness (proprieter company) in that case do i need to pay service tax on rental income? can someone post any notification link from service tax department.. thanks for help..

 

Thank you so much

Thank you so much

What type of agreement or invoice to be raise to students?

Also I need this opinion in writing.. let me know the cost for the same.. thanks 


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