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2014 (7) TMI 540 - AT - Service TaxDemand of service tax - renting of immovable property - Leasing of buildings to Hotals - Held that:- The taxable service falling within the scope of Section 65(90a) and enumerated to be a taxable service under Section 65(105) (zzzz) is the renting of immovable property. A reading of clause (90a) and clause (zzzz) would indicate that a complex drafting methodology is adopted. Even in clause (90a) there are inclusionary and exclusionary clauses. Under this provision renting of immovable property or similar arrangement for use in course of or furtherance of business or commerce but excluding renting of immovable property by a religious body or to a religions body; renting of immovable property to an educational body, imparting skill or knowledge or lessons on any subject or field, other than a commercial training or coaching centre, are excluded. The Explanation under clause (90a) further defines the expression for use in the course or business or commerce and also incorporate a clarificatory clause for removal of doubts, not necessary for the purposes of these appeals. Similarly, in clause (zzzz) there are inclusionary or exclusionary clauses embedded. Renting of immovable proper for a hotel is expressly excluded from the ambit of the taxable service in Section 65(105) (zzzz) - Following decision of Ambience Construction India Ltd. vs. Commr. of S.T. Hyderabad [2012 (11) TMI 653 - CESTAT BANGALORE] Renting of buildings used for the purpose of accommodation including hotels, meaning thereby renting of a building for a hotel, is covered by the exclusionary clause and does not amount to an "immovable property", falling within the ambit of the taxable service in issue - Decided in favour of assessee.
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