CBEC Notifies exemption from Service Tax to State Government Industrial Development Corporations (SIDCs)/ Undertakings on Long Term Lease of Plots to Industrial Units
The CBEC has notified that State Government Industrial Development Corporations (SIDCs)/ Undertakings shall be eligible for service tax exemption in respect ofg on Long Term Lease of Plots to Industrial Units, as under:
CBEC Notification No. 41/2016-Service Tax dt. 22 Sept. 2016 [F. No. 354/51/2016 -TRU]
G.S.R 902 (E).- In exercise of the powers conferred by sub-section (1) of section 93 of the Finance Act, 1994 (32 of 1994), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts taxable service provided by State Government Industrial Development Corporations/ Undertakings to industrial units by way of granting long term (thirty years, or more) lease of industrial plots from so much of service tax leviable thereon under section 66B of the said Act, as 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.