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2020 (7) TMI 348 - AAR - GSTLevy of GST and Service tax - coaching provided by the applicant to its students - scope of the term ‘educational institution’ as defined under Notification No. 12/2017-Central Tax (Rate) dt.28.06.2017 - whether applicant is supplying the services to the students as an educational institution? - service of supply of food i.e. catering and accommodation to the students for these courses. Whether the services of supply of service of education as per the curriculum prescribed by the statutory authorities/ government to the students of the applicant tor obtaining qualifications/ certificates of CA-Foundation, CA-Inter, CA-Final, CMA (ICWA)-Foundation, CMA-Inter, CMA-Final and Intermediate duly recognized by the respective statutory authorities/ government are exempted under Notification NO.12/2017-CT (Rate) dt.28.06.2017 (entry No.66(a)), as amended or Not? HELD THAT:- In the instant case, the coaching or training service provided in respect of the courses pertaining to CA (Inter & Final) and ICWA (Inter & Final) does Not fall under clause (i) of the above said definition, as the same is Not related to pre-school education and education up to higher secondary school or equivalent. Similarly, the service provided by the applicant also does Not fall under clause (iii), as the same is Not related to imparting of education as a part of an approved vocational education course (which is generally a Non-academic course and a specific trade / vocation oriented course) - In the instant case, the coaching or training provided by the applicant is for preparing the students for wTiting/appearing CA(Inter & Final) and ICWA (Inter & Final) Exams conducted by ICAI/ ICWAI. The said coaching or training per se does Not lead to grant of a certificate or diploma or degree or qualification which is recognized by any law. It only aims at giving a better preparation to the students and improves their chances in the examination. It is similar to any other coaching or training given in respect of competitive / entrance examinations such as IIT, EAMCET etc. It is pertinent to mention that the coaching or training as imparted by the applicant is neither mandatory Nor sine qua Non to the students appearing for CA / ICWA examination. Students, who prepare on their own, can also appear for these examinations and qualify basing on their performance. Hence, as stated supra, the coaching or training imparted by the applicant is only a facilitation / improvisation of the preparation for the said exams and canNot be considered as a coaching/training leading to grant of certificate, qualification etc. recognized by law - the coaching or training service provided by the applicant to the aspirants of CA-Foundation, CA-lnter, CA-Final, CMA (ICWA)-Foundation, CMA-Inter, CMA-Final and Intermediate is Not the service provided by means of ‘education as a part of curriculum that has been prescribed for obtaining a qualification prescribed by law’. Hence it cannot be said that the coaching / training given by the applicant to CA aspiring students (for appearing and qualifying in the examinations) would lead to grant of certificate/qualification recognized by law. Therefore, the service rendered by the applicant is Not a service by way of ‘education as a part of curriculum for obtaining a qualification recognized by any law for the time being in force’. Supply of food and accommodation to the students of the applicant - Applicability of Entry No.66 of Notification No.i2/20i7-Central Tax (Rate) dt.28.06.2017 as amended by Notification No.2/2018-Central Tax (Rate) dated 25.01.2018 - HELD THAT:- The services of provision of food and accommodation to the students perusing the said courses are liable to GST under the same Notification and also as clarified vide CBIC Circular NO.85/04/2019-GST, dt.01.01.2019 that supply of food, beverages by an educational institution to its students, faculty and staff, where such supply is made by the educational institution itself, is exempt under Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017, vide SI. No. 66 w.e.f. oi-oj-2017 itself. As applicant Not qualified as an educational institute, the above exemptions won’t be applicable.
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