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TMI Blog2017 (10) TMI 1190X X X X Extracts X X X X X X X X Extracts X X X X ..... confirmed under the category of renting of immovable property services. 2. As the appeals involve almost similar facts and the question of law is common in all the appeals, therefore, all the appeals are taken up together for disposal by a common order. 3. The brief facts of the case are that the appellants are co-owner of property located at Himalaya Mall, Drive-in Road, Ahmedabad and collectively received rent from M/s Koutons Ltd., Ahmedabad in respect of the rent deed. The appellants are receiving rent separately as per their share in the property and did not pay the Service Tax on the amount received as the amount of rent was within threshold limit as per the Notification No.06/2005-ST dt. 01.03.2005, wherein it has been explained th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f CCE, Nasik Vs. Deoram Vishrambhai Patel reported in 2015 (40) STR 1146 (Tri. Mumbai) wherein this Tribunal observed as under:- 6. We have considered the submissions made by both sides and perused the records. The issue that needs to be decided in this case is whether the respondent and his brothers are to be treated as association of persons or other vise and service tax liability on it arises, should be confined without the benefit of the notification No. 6/2005-S.T. 7. It is undisputed that the property which has been rented out by the respondent and his brothers is jointly owned property; service tax liability arises on such renting of property. 8. On deeper perusal of impugned order, we find that the first appellate authority h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... our appellants in this case is in their individual capacity and, therefore, their tax liability should have been determined by considering their individual rental receipts and not collective one. From the various lease agreements made with above mentioned Commercial firms, it cannot be disputed that monthly rent was paid by the above named concerns to each appellant after deducting tax at their end. 6.3 From the show cause notice dated 19.10.2012, it is evident that the appellants had received rent as detailed below:- Sr No Period Amount (Rs) 1 2007-08 (1.6.2007 to 31.3.2008) 29,21,048/- 2 2008-09 36,27,024/- 3 2009-10 46,72,744/- 4 2010-11 52,63,304/- 5 2011-12 44,28,360/- But as the rent was distributed equally among ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a delayed payment, but was made by the appellants on their own when they realized that their taxable value for renting of property had exceeded the exemption limit of Rs. 10 Lakhs. The adjudicating authority has claimed in his order that the appellants paid service tax only after Department started investigation, but is not supported by any evidence or the facts on record. The SCN or the OIO do not talk of any audit objection or Preventive action or any inspection etc. on the basis of which not payment of service tax by the appellants was pointed out. Instead in the SCN, one statement of Shri Chandulal Vishrambhai Patel is only referred to which was recorded 22.02.2012 which is 8 days after the appellants had paid service tax along with int ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... liability, which in this case, we find our individual. The conclusion arrived at by the first appellate authority is correct and he has confirmed the demand raised on the respondents by extending the benefit of Notification No. 6/2005-S.T. We do not find any reason to interfere in such a detailed order." 6. As it has been held by this Tribunal in the said case that co-owners of the property cannot be considered as liable to pay Service Tax (jointly or severally) as the Revenue has identified the services provider and the service recipients for imposing the Service Tax liability which are individuals. Therefore, the Service Tax liability is not sustainable. The same view has been taken by this Tribunal in following cases : i) Jaspal Singh ..... X X X X Extracts X X X X X X X X Extracts X X X X
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