Leviability of Service tax on renting/leasing immovable properties for commercial purposes : CESTAT directs to pass denovo order

CESTAT directed that a de novo order be passed on the leviability of service tax on renting or leasing immovable properties for commercial purposes. The case involved the interpretation of service tax applicability on renting or leasing commercial properties, an area that has been subject to varying interpretations in the past. The tribunal’s decision calls for a fresh order, ensuring that the issue is addressed with full consideration of the facts. This ruling has significant implications for businesses and property owners engaged in leasing commercial real estate, providing much-needed clarity.