service tax
A.R.JOSHI
(Querist) 23 June 2011
This query is : Resolved
Hitherto clubs are charging service tax @ 10.3%on room rent received. With effect from 01.05.2011 service tax is payable by hotels on room rent by abetment of 50%.
Whether the clubs can avail the benefit of abetment of 50% w.e.f 01.05.2011 and pay tax @ 5.15%?
soumitra basu
(Expert) 28 June 2011
I presume that the club is collecting service tax under the head rental from immovable property. here abatement is not allowable.