Manish gave his 3 buses on hire to State transport undertaking for a monthly rent of ₹1 lakh. It was given on hire for full 2 months. The service tax liability would be

CS Executive · Tax Laws and Practice · PYQS · December 2015
Manish gave his 3 buses on hire to State transport undertaking for a monthly rent of ₹1 lakh. It was given on hire for full 2 months. The service tax liability would be
(A) ₹24,720
(B) ₹1,32,360
(C) Nil
(D) ₹12,360.

Answer & Explanation:

Correct Answer: Option (C)

Official answer key: (C).

Topics: Service Tax

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