The Finance Bill presented on 26th Feb, 2010 seeks to negate Delhi Court Decicion on Service Tax on Renting of Immovable Properties.
The scope of services have been modified with retrospcetive effect as “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.”;
Thus by including words BY RENTING OF IMMOVABLE PROPERTY, the entire decision of Delhi High Court has been made redundant has now the the tax is no more on service in relation to renting of immovable property but also on the core activity of renting of immovable property.
the ammendment is with retrospective effect from 1-6-2007.
