Coaching courses aren’t eligible for GST exemption, guidelines AAR

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MUMBAI: Coaching courses don’t get any exemption from Goods and Service Tax (GST), this place was reiterated by a ruling given by the Andhra Pradesh bench of the Authority for Advance Rulings (AAR). An analogous stand has been taken earlier, together with by the Maharashtra bench of the AAR.
Entry No 66 of the related notifications supplies exemption to instructional providers, if these are offered by an academic establishment, topic to sure situations. These are: the service offered is said to training, the training is offered as part of a curriculum and the training is offered for acquiring a qualification recognised by any regulation in the intervening time in pressure.
The applicant, Master Minds, was providing quite a lot of teaching programs (common, crash programs, revision examination programs) with totally different charge buildings and curriculum choices to aspirants (college students) of chartered accountancy and value accountancy streams.
The AAR bench famous that such teaching is just not obligatory to be conferred an Inter or Final certificates by the Institute of Chartered Accountants and the Institute of Cost Accountants, each of that are statutory our bodies.
The teaching class was not issuing any teaching completion certificates or any examine certificates, in respect of the chartered accountancy and value accountancy programs.
Master Minds was not accredited or affiliated to, or recognised, or authorised by these two skilled Institutions for imparting teaching or coaching. These skilled establishments have been themselves providing teaching and coaching to the aspirants by their regional councils or branches or sure accredited our bodies, in accordance with the prescribed curriculum.
Given the above, the AAR held that the teaching class was not eligible for the exemption offered by the GST notification. The teaching class must levy and acquire GST at 18%. Likewise, expenses collected for offering lodging and catering providers to its college students wouldn’t get the advantage of any GST exemption.


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