9911796707
TMI Blogrenting of vacant land in a mine.X X X X Extracts X X X X X X X X Extracts X X X X ..... renting of vacant land in a mine. X X X X Extracts X X X X X X X X Extracts X X X X ..... Pradeep Khatri: The Reply: If it is being used for furtherance of business then service tax would be applicable, otherwise not. Reply By NEERAJ KUMAR, RANCHI: The Reply: Mr Khatri, In fact my concern in the question is : since it is a vacant land and with in a mine, so in view of this whether this will be taxable or not. Further as evident from my question that it is used for commercial use an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d in liew of monetary consideration so it is definitely for furtherance of business. Reply By Pradeep Khatri: The Reply: Dear Sir, I understood your point. Mines do not come under the definition of Building. But there is no such exemption available in the Negative list and under Mega Notification. Hence, service Tax may be applicable. Regards, Pradeep Reply By NEERAJ KUMAR, RANCHI: The Reply ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... : Thanks for your kind reply. Please refer to your second reply, position after 01.07.2012 is clear but what about the period prior to 01.07.2012. My concern is for the period for the period prior to 01.07.2012. Reply By Seetharaman K C: The Reply: Prior to 01-07-2012 the principle followed was whether the particular service was specifically included or specified in the list of services. Now fr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... om the discussion it is evident that this was not featuring anywhere in the taxable services list and hence should not be subject to Service tax for earlier period when the Negative List concept was not in vogue. The department is likely to take a different stand as always, you may have to fight it out Reply By Seetharaman K C: The Reply: Further to my reply earlier the definition of Immovable p ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... roperty specifically excludes land used for Mining from its purview so we could argue that the rent would not be subject to service tax for the period before 01-07-2012, but the fact remains that the land is being used for storage purposes and this is the point on which the Department would probably argue on.The relevant portion of the definition is as reproduced below: 65(105)(zzzz) - Renting of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Immovable Property Any services provided or to be provided to any person, by any other person, by renting of immovable property or any other service in relation to such renting, for use in the course of or, for furtherance of, business or commerce Explanation 1.--For the purposes of this sub-clause, "immovable property" includes-- (i) building and part of a building, and the land appurtenant t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hereto; (ii) land incidental to the use of such building or part of a building; (iii) the common or shared areas and facilities relating thereto; and (iv) in case of a building located in a complex or an industrial estate, all common areas and facilities relating thereto, within such complex or estate, but does not include- (a) vacant land solely used for agriculture, aquaculture, farming, fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... restry, animal husbandry, mining purposes; X X X X Extracts X X X X X X X X Extracts X X X X
|
