GST On Pre-examination & Post-Examination services provided to Educational Institutes
- Printing of Pre-examination items like question papers, OMR sheets (Optical Mark Reading), answer booklets etc.,
- Printing of Post-examination items like marks card, grade card, certificates to the educational boards upto higher secondary; and
- Scanning and processing of results of examinations
shall be exempt from payment of GST in terms of Serial # 66 of Notification No.12/2017-Central Tax (Rate) dated 28.06.2017.
The above service provided to an educational institute shall be considered as towards conduct of examination. The first service provided towards printing of pre-examination items will be used by an educational institution for conduct of examination. The second services provided to an educational boards by way of printing of marks card, grade card, certificates etc. which acts as a medium for communication of examination results to students.
The said activity acts as a last leg towards completion of the activity of conducting the examination process by an educational institution. The third services provided to an educational boards by way of scanning and processing of results is more an outsourced activity which otherwise would have been done and undertaken by an educational institution itself. This is an integral part of the conduct of examination and publishing of results of the students who participated in the said examination.
Such services are normally not carried out by an educational institution by itself but has to be outsourced to other service providers due to lack of infrastructure for printing, administrative convenience, confidentiality, volume etc. Accordingly, when such services are procured by the educational institution, they tantamount to the services relating to conduct of examination, which will appropriately fall within the term ‘services relating to conduct of examination’ outlined under Entry No. 66 of the Notification No. 12/2017 – Central Tax (Rate), dated 28th June,2017
Relevant text of Notification:
|Sl. No.||Chapter, Section, Heading, Group or Service Code (Tariff)||Description of Services||Rate (per cent.)||Condition|
|66||Heading 9992||Services provided –
(b) to an educational institution, by way of,-
(iv) services relating to admission to, or conduct of examination by, such institution;
Above decision is given by Telangana State Authority for Advance Ruling vide Advance Ruling No. TSAAR Order No. 10/2018, A.R.Com/13/2018, Dated 26th July, 2018 in case of M/s. K L Hi-tech Secure Print Limited.
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