GST on Education Service

• June 6, 2020
• CA Chandan Agarwal's Office

Introduction :-

Taxing the Education Sector has always been a sensitive issue, as education is seen more as a social activity than a business one. The government has a constitutional obligation to provide free and compulsory elementary education to every child. Thus, to promote education, it would be beneficial if educational services are exempted from tax. However, commercialisation of education is also a reality. The distinction between core and ancillary education is blurring and education is now an organised industry with huge revenues. Education service are taxable by 18% as per the Rate notification but some service which require for the social cause of the government made exempt with notifications. So in simple word, education is taxable service not an exempt service in the Act.

Read on me: https://taxguru.in/goods-and-service-tax/gst-education-service.html