TMI Blog2018 (7) TMI 1674X X X X Extracts X X X X X X X X Extracts X X X X ..... he services of renting of immovable property became taxable. The Tribunal in the case of Ascendas IT Park (Chennai) Ltd. [2018 (1) TMI 827 - CESTAT CHENNAI] has considered the very same issue and held that VAT and service tax being mutually exclusive, service tax cannot be demanded on the very same consideration received for renting of movable properties. The demand cannot sustain and requires to be set aside - appeal allowed - decided in favor of appellant. - Application No. ST/Misc[CT]/41123-41125/2017 Appeal No.: ST/00433-00435/2012 - Final Order No. 42117-42119 / 2018 - Dated:- 25-7-2018 - Hon ble Hon ble Ms. Sulekha Beevi C.S., Member (Judicial) And Hon ble Shri Madhu Mohan Damodhar, Member (Technical) Shri. V. S. Manoj, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... outs even prior to introduction of levy of service tax on Renting Of Immovable Property Services. The Department has issued these Show Cause Notices for the period June, 2007 to September, 2010, proposing to demand service tax on the amounts received as rent for office fit outs under the category of renting of immovable property service. 2.3 A separate agreement was entered with the tenants for leasing the fit outs in the premises and does not form part of renting of immovable property at all. Since the appellants have discharged VAT on the said amount, the Department cannot again levy service tax. Service tax and VAT are mutually exclusive. To support this proposition, he relied upon the decision in the case of Imagic Creative Pvt. Ltd ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ditioners, CCTV, fire alarms, etc. Appellants are discharging VAT on the rent received for leasing the fit outs. They have been discharging VAT even before the services of renting of immovable property became taxable. The decision in the case of Imagic Creative Pvt. Ltd. (supra) has held that service tax and VAT are mutually exclusive. Further, the Tribunal in the case of Ascendas IT Park (Chennai) Ltd. (supra) has considered the very same issue and held that VAT and service tax being mutually exclusive, service tax cannot be demanded on the very same consideration received for renting of movable properties. Since there are two separate agreements for renting of fit outs and renting of premises, it can never be said that the amount received ..... X X X X Extracts X X X X X X X X Extracts X X X X
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