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2017 (5) TMI 1252 - AT - Service TaxRenting of immovable property service - liability of tax - Whether appellant are liable to pay service tax on the receipts from United Breweries Ltd.; to whom they have given and/or leased exclusive usage of the facilities for manufacturing of beer? - Demand of service tax on reimbursement of expenses towards wages etc. Held that: - so far the fixed lease rent of ₹ 1 Crore per annum received by the appellant, the same is not taxable towards “Renting of immovable property service” as there is no renting out of land and building along with its fixtures. The appellant have only let out plant and machinery and the manufacturing facility, which does not qualify under the definition of “Renting of immovable property service”. Reimbursement of expenses - Appellant will be liable to service tax for the reimbursement made by UBL under clause 70 of the agreement, under “Business Support Service” with effect from 01/05/2011 - the extended period of limitation is not invokable as the transaction has been properly documented and/or recorded in the books of accounts. Matter remanded back to the Adjudicating Authority for the limited purpose of re-calculation of demand under “Support Service of Business or Commerce” for the period with effect from 01/05/2011 - appeal allowed by way of remand.
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