Service tax applicability on educational institutions
Ksreddyacs
(Querist) 13 September 2015
This query is : Resolved
Dear Sir's
We are running intermediate colleges as affiliated with Board of intermediate education. Along with formal education(intermediate), we are providing some guidance/coaching for competitive exams like EAMCET, JEE MANS..etc to the students who is pursuing intermediate in our colleges.
We are not collecting any fee from the students for giving coaching for competitive exams.
Recently we got the notice from service tax dept by asking so much of information about the same.We have not even registered assesse.
Request your valubale suggestion in this regard. Is it taxable or exempted as it comes under incidental activity??
Anirudh
(Expert) 14 September 2015
It is a full-fledged commercial query. Pl. do not take the notice from the revenue department lightly. Since you are facing huge service tax demand, and it will also entail payment of interest, penalty etc., better approach a professional lawyer, show all your papers, discuss what are all you do, and then prepare an effective reply to the show cause notice from the department. One line or two line reply from here will be of no use to you.
Rajendra K Goyal
(Expert) 14 September 2015
Consult local tax consultant and discuss in detail.
T. Kalaiselvan, Advocate
(Expert) 21 September 2015
The notice received from the taxation department is not to be taken lightly, you have to give a proper reply to it in accordance with the law.
You may consult a local consultant/lawyer and proceed further as per his advise.
H.M.Patnaik
(Expert) 18 March 2016
Nothing more to add.
