Service Tax Paid on rent can be claimed as deduction from business Income

DCIT Vs. M/s. Chadha Builders & Properties (ITAT Delhi) Service Tax is not an allowable deduction from Income from house property. But it is true that the assessee has paid Service Tax & it was not recovered from tenants and it has also filed the return of service tax. Service tax has been paid into Central Govt Account and it is a genuine expense incurred by the assessee. Assessee’s contention is correct that charging of income tax on Service -tax paid by the assessee will amount to double taxation. There is force in the submissions of the AR as it has paid the Service Tax as an...