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2018 (2) TMI 232 - AT - Service TaxRefund claim of service tax paid - Renting of Immovable Property Services - for residential / accommodation purpose or otherwise - rejection on the ground that building that comprises of a lodging house also has a restaurant, banquet hall etc., and, therefore, would not fall within the meaning of hotel - whether appellants are eligible for the refund of service tax paid under the category of “Renting of Immovable Property Service? - Held that: - On perusal of the Lease Deed, we see that parts of the building have been specifically let out for payment of rent separately - It is seen that the Scheduled Property is rented out for running of Hotel, Lodging House and allied/related activities. The Restaurant, Coffee Shop etc., are facilities attached to the business of renting of Hotel. The Lease Deed reveals that rent for each part of the building or in other words, the Rent for Restaurant, Coffee Shop, Permit Room, Bar etc., are fixed separately. Only that part of the building which is used for accommodations would fall within the exclusion part of the definition. It is not the case that the restaurant coffee shop, permit room/banquet hall etc., are fully available only for the exclusive use of the lodgers, who stay in the hotel. It is also not the contention that these facilities are not open for use by those who do not stay in the hotel or for that matter that the hotel does not rent out including hall etc., for functions hosted by non-lodgers. Refund has been rightly rejected - appeal dismissed - decided against appellant.
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