Whether in procurement of orders and arranging payment for Construction of Houses is real estate agent’s service?

The meaning of "real estate agent" has been provided u/s 65(88) [old u/s 65(73)] and the meaning of "real estate consultant" has been provided u/s 65(89) [old u/s 65(74] of the Chapter V of the Finance Act, 1994.

In terms of these definitions, a question was raised before the honorable tribunal that whether in procurement of orders and arranging payment for Construction of Houses is real estate agent's service, in the matter of M/s INDUS TUBES LIMITED Versus COMMISSIONER OF C. EX., GHAZIABAD v. 2007 -TMI - 1453 - CESTAT, NEW DELHI.

In this case, honorable tribunal has held that the procurement of orders and arranging payment for construction of houses is a service of "real estate agent" and hence liable to service tax.

Also see: Ready Reckoner on Taxable Services  - "Real Estate Agent"