Service Tax Not Applicable on University’s Rental Income from Banks, Post Offices etc: CESTAT

CESTAT exempts university rental income from service tax - The Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) has ruled that rental income earned by a statutory university from letting out premises to entities like banks, telecom companies, or post offices is exempt from service tax. The tribunal found that such rental income is incidental to the university's primary educational activities and that a statutory university is not a "person" liable for service tax under Section 65B(37) of the Finance Act, 1994, affirming their tax-exempt status as educational bodies.