News Details- (Get Professional Updates on Whatsapp, Msg on
8285393786) More
News
Coaching classes are not eligible for GST exemption - AAR
PrintCoaching classes do not get any exemption from Goods and Service Tax (GST), this position was reiterated by a ruling given by the Andhra Pradesh bench of the Authority for Advance Rulings (AAR). A similar stand has been taken earlier, including by the Maharashtra bench of the AAR.
Entry No 66 of the relevant notifications provides exemption to educational services, if these are provided by an educational institution, subject to certain conditions. These are: the service provided is related to education, the education is provided as a part of a curriculum and the education is provided for obtaining a qualification recognised by any law for the time being in force.
The applicant, Master Minds, was offering a variety of coaching courses (regular, crash courses, revision exam courses) with different fee structures and curriculum options to aspirants (students) of chartered accountancy and cost accountancy streams.
The AAR bench noted that such coaching is not mandatory to be conferred an Inter or Final certificate by the Institute of Chartered Accountants and the Institute of Cost Accountants, both of which are statutory bodies.
The coaching class was not issuing any coaching completion certificate or any study certificate, in respect of the chartered accountancy and cost accountancy courses.
Master Minds was not accredited or affiliated to, or recognised, or authorised by these two professional Institutions for imparting coaching or training. These professional institutions were themselves offering coaching and training to the aspirants through their regional councils or branches or certain accredited bodies, in accordance with the prescribed curriculum.
Given the above, the AAR held that the coaching class was not eligible for the exemption provided by the GST notification. The coaching class will have to levy and collect GST at 18%. Likewise, charges collected for providing accommodation and catering services to its students would not get the benefit of any GST exemption. #casansaar (Source - TNN, Times of India)
Entry No 66 of the relevant notifications provides exemption to educational services, if these are provided by an educational institution, subject to certain conditions. These are: the service provided is related to education, the education is provided as a part of a curriculum and the education is provided for obtaining a qualification recognised by any law for the time being in force.
The applicant, Master Minds, was offering a variety of coaching courses (regular, crash courses, revision exam courses) with different fee structures and curriculum options to aspirants (students) of chartered accountancy and cost accountancy streams.
The AAR bench noted that such coaching is not mandatory to be conferred an Inter or Final certificate by the Institute of Chartered Accountants and the Institute of Cost Accountants, both of which are statutory bodies.
The coaching class was not issuing any coaching completion certificate or any study certificate, in respect of the chartered accountancy and cost accountancy courses.
Master Minds was not accredited or affiliated to, or recognised, or authorised by these two professional Institutions for imparting coaching or training. These professional institutions were themselves offering coaching and training to the aspirants through their regional councils or branches or certain accredited bodies, in accordance with the prescribed curriculum.
Given the above, the AAR held that the coaching class was not eligible for the exemption provided by the GST notification. The coaching class will have to levy and collect GST at 18%. Likewise, charges collected for providing accommodation and catering services to its students would not get the benefit of any GST exemption. #casansaar (Source - TNN, Times of India)
Category : GST | Comments : 0 | Hits : 840
Get Free Daily Updates Via e-Mail on Income Tax, Service tax, Excise and Corporate law
Search News
News By Categories More Categories
- Income Tax Dept serves notices to salaried individuals for documentary proof to claim exemptions
- Bank Branch Audit 2021 - Update on allotment of Branches
- Bank Branch Audit 2020 Updates
- Bank Branch Audit 2021 Updates
- Bank Branch Audit 2020 - Update on Allotment of Branches
- Police Atrocities towards CA in Faridabad - Its Time to be Unite
- Bank Branch Statutory Audit Updates 2019
- Bank Branch Statutory Audit Updates
- Bank Branch Audit 2022 Updates
- Bank Branch Statutory Audit Updates
- NFRA Imposes Monetary penalty of Rs 1 Crore on M/s Dhiraj & Dheeraj
- ICAI notifies earlier announced CA exam dates despite pending legal challenge before SC
- NFRA debars Auditors, imposes Rs 50 lakh penalties for lapses in Brightcom, CMIL cases
- GST Important Update - Enhancement in the GST Portal
- NFRA Slaps Rs 5 lakh Penalty on Audit Firm for lapses in Vikas WSP Audit Case
- CBDT extends due date for filing Form 10A/10AB upto 30th June, 2024
- RBI comes out with FEMA regulations for direct listing on international exchange
- RBI directs payment firms to track high-value, fishy transactions during elections
- NCLT orders insolvency proceedings against Subhash Chandra
- Income Tax dept starts drive to dispose of appeals, 0.54 million at last count
- Payment of MCA fees –electronic mode-regarding
- Budget '11-12' Parliament Completes Approval Exercise
- Satyam restrained from operating its accounts
- ICICI a foreign firm, subject to FDI norms: Govt
- Maha expects Rs 15 crore entertainment tax revenue from IPL
- CAG blames PMO for not acting against Kalmadi
- No service tax on visa facilitators: CBEC
- Provision of 15-minutes reading and planning time allowance to the candidates of Chartered Accountants Examinations
- Companies Bill to be taken up in Monsoon Session
- File Service Tax Return in time as Maximum Penalty increased 10 times to Rs. 20000
Comments