CESTAT holds Municipal Rental Activity Taxable, But Extended Period Fails

The Tribunal held that providing space for hoardings and renting vacant land for commercial activities were taxable services during the relevant periods, notwithstanding that the appellant was a municipal authority and the consideration was termed a licence fee. 

At the same time, the Department failed to establish any positive act of suppression with intent to evade tax, and therefore the demand beyond the normal period was set aside.