renting of vacant land, Service Tax

[NARASIMHAN SUBBARATHINAM]

A public undertaking is a developer of industrial estates by acquiring the land and develop industrial infrastructure and the land is allotted on a lease basis. The land cost is received upfront and the characcteristic of lease is retained only to maitain the purpose for which it was allotted. since the vacant land is leased for furtherence of the business, service tax is applicable and if so from which date?.

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[ranganath shenoy]

Service tax is applicable on vacant land leased on which therafter if the lessee is permitted to put up a permanent or temporary structure.The amendment is effective from July 2010 and not retrospectively.