Practising Chartered
974 Points
Joined June 2015
Hi Sudheer,
The services of Hostel and coaching are two different services, hence they should be considered seperately.
Now comming to the taxaxbility of hostel services, it would be covered under the head "Renting of Hotel, Inn, Guest House, Etc". which includes that the taxability would arise if per day tariff is more than Rs.1000.
Hence if the conditions is specified in the hostel, it is liable to charge service tax on the same.