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2019 (5) TMI 1485 - AT - Service TaxSSI exemption - claim of SSI Exemption upto ₹ 10 lakhs - Renting of immovable property - association of person (AOP) - clubbing of consideration - crossing over of threshold limit - HELD THAT:- Though in respect of one property, there are joint owner but each joint owner is independent in respect of ownership of respective shares, therefore, whatsoever consideration received by an individual, it is the subject matter of taxation in respect of that individual person either as per income tax or as per service tax. Rental income of other co-joint owner cannot be considered. Receipt of rental income by every individual is only subject to liability of service tax - If the value is below thresh-hold exemption limit in case of any individual, the same will not be taxable being exempted under Notification No. 06/05-ST dated 01.03.2005. At the same time in case of any individual person if the thresh-hold limit exceed in financial year, the same will be liable for service tax. The issue decided in the case of SAROJBEN KHUSALCHAND & OTHERS VERSUS C.S.T. -SERVICE TAX - AHMEDABAD [2017 (5) TMI 240 - CESTAT AHMEDABAD] where it was held that the ownership of the Property and providing of taxable renting of immovable Property by the four appellants in this case is in their individual capacity and, therefore, their tax liability should have been determined by considering their individual rental receipts and not collective one. Service tax liability do not arise - appeal allowed - decided in favor of appellant.
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