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Home Solutions Retails (India ) Ltd. vs Union Of India Ministry Of Finance on 7 February, 2014

challenge. The main ground raised was that it is a tax on immovable property and that Centre has no powers to levy tax as immovable property (land) falls within the State List. There were decisions passed by various High Courts upholding the validity of the provisions of Section 65 (105) (zzzz) and Section (90a) of the Finance Act. [Shubh Timb Steels Ltd. Vs. UOI (2011) 37 VST 46 (P&H), Utkal Builders Ltd, Vs. UOI 2011 (22) STR 257 (Ori), Entertainment World Developers Ltd. Vs. UOI 2012 (25) STR 231 (M.P), Home Solutions Retails (India) Ltd. Vs. UOI 2011 (24) STR (129) Del (FB) Home Solution II]. In these cases, there was no specific discussion upon the issue whether 'local authority' would be liable to pay service tax on Renting of Immovable Property services.
Supreme Court - Daily Orders Cites 0 - Cited by 47 - Full Document

R.Nambi vs Tenkasi Municipality on 24 September, 2014

There was also no discussion as to the definition of person; in the case of Madurai Corporation, the Ld. Single Judge sustained the demand mainly on the view that the Hon'ble High Court in the batch case observed that Municipality can pass on the burden of service tax to the tenant (recipient of service); The Ld. Single Judge also 20 ST/41985/2015 ST/41042&41403/2017 referred to the case of R Nambi Vs. Tenkashi Municipality [2015 (37) STR 696 (Mad)]. The petitioner therein was a licensee of the Tenkashi Municipality and challenged the demand notice of service tax served by the Municipality upon him. In these cases, the taxability in general was considered. The issue as to whether local authority (Panchayat, Municipality, Corporation) would be liable to discharge service tax as these services are provided in discharge of sovereign function was not considered.
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