The taxability of services or the charge of service tax has been specified in section 66B of the Act. To be a taxable a service should be –1. provided or agreed to be provided by a person to another . 2. in the taxable territory 3. and should not be specified in the negative list.
Only such educational services are in the negative list as are related to delivery of education as ‘a part’ of the curriculum that has been prescribed for obtaining a qualification prescribed by law. It is important to understand that to be in the negative list the service should be delivered as part of curriculum. Conduct of degree courses by colleges, universities or institutions which lead grant of qualifications recognized by law would be covered. Training given by private coaching institutes would not be covered as such training does not lead to grant of a recognized qualification.
So in the last line it has been told specifically that education imparted by the coaching classes will be subject to sevice tax .......
PRIVATE TUTORS ARE NOT EXEMPTED FROM SERVICE TAX IF THEY ARE PROVIDIDING SERVICES MORE THAN RS 10,00,000.....
However, private tutors can avail the benefit of threshold exemption.
COACHING AND PRIVATE TUTIONS ARE TAXABLE TO SERVICE TAX .....
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