Circular No. ES/112 /2016-17 September 27, 2016
To: Members of the Council
Sub: Service Tax Exemption on one time upfront amount to State Govt Industrial Development Undertakings
Dear Member,
We would like to inform you that CBEC has issued Notification No. 41/2016 dated 22nd September, 2016 seeking to exempt taxable service provided by State Government Industrial Development Corporations/ Undertakings by way of granting long term (thirty years, or more) lease of industrial plots to industrial units from so much of service tax which is leviable on the one time upfront amount (called as premium, salami, cost, price, development charges or by any other name) payable for such lease.
Members are requested to make note of the above.
Thanking You,
V.ANIL KUMAR
EXECUTIVE DIRECTOR
