No GST On Education And Vocational Training Courses Approved By State Government: AAR
No GST On Education And Vocational Training Courses Approved By State Government: AAR
The applicant, M/s. Additional Skill Acquisition Programme Kerala, is an undertaking of the Higher Education Department, Government of Kerala. It was Introduced in 2012; ASAP transformed it into ASAPK as a company under Section 8 of the Companies Act 2013, completely owned by the Government of Kerala and was incorporated on 22/01/2021. The applicant targets skilling students and the general community to boost their employability. The main objective of this are to increase youth employability via training, workers, NEET youth, returnees, women and disadvantaged groups.
ASAPK designs and conducts examinations, issues certifications, courses and others. the applicant highlights its own courses formally recognized by the Government of Kerala (Education Department).
Question Asked By Applicant
“Question 1. What is the appropriate classification of the services supplied by M/s ASAP by way of education and vocational training?
1) In relation to the courses approved by the Government of Kerala as enclosed in Exhibit 1.
2) In relation to the courses approved by NCVET.
3) In relation to courses where consideration is received from govt/agencies/other corporates arising out of CSR.
Question 2. Whether the exemption in Notification 12/2017-CT (rate) applies to the services supplied as per Entries 4,66,69 of the said notification?
Question 3. Whether the applicant is liable to pay tax on the said supplies of services?”
Advance Ruling
1. a) The courses approved by the Government of Kerala (as listed in Exhibit 1 of the application), the services are classified under SAC 999294 Other training and education services are classified.
b) The courses approved by NCVET, and the courses where consideration is received from government agencies or corporates, due to insufficient details related to individual courses, no specific SAC can be assigned at this stage.
2. a) Exemption under Entry 66 is applicable to services related to courses approved by Government of Kerala.
b) Exemption under Entry 69 is applicable to services related to NCVET courses (NSQF aligned qualification), subject to the conditions specified under Entry 69 being satisfied.
c) For the services where consideration is received from government agencies or corporates, since the applicant did not mention any specific exemption notification or supporting evidence, the Authority could not provide a ruling on this question.
3. The applicant is not eligible to pay GST on services related to:
- Courses approved by the Government of Kerala (Exhibit 1)
- NCVET has approved courses that are in line with the National Skills Qualification Framework (NSQF), as these match with the conditions prescribed under Entries 66 and 69 of Notification No. 12/2017-Central Tax (Rate), as amended.