GOVERNMENT SAYS HOSTEL FEE IN EDUCATIONAL INSTITUTIONS EXEMPT UNDER GST :

Refuting reports that hostel fee charged by educational institutions will attract 18 per cent Goods and Services Tax (GST), the Finance Ministry on Thursday said such services provided to students, faculty and staff are fully exempt under the new indirect tax regime.  “There are some reports that GST at the rate of 18 per cent will be levied on annual subscription/ fee charged for lodging in hostels. This is not true. There is no change in tax liability relating to education and related services in the GST era, except reduction in tax rate on certain items of education,” the ministry clarified in a statement. “It may be mentioned that services provided by an educational institution to students, faculty and staff are fully exempt,” it said.  Services of lodging/ boarding in hostels provided by such educational institutions which are providing pre-school education and education up to higher secondary school or equivalent or education leading to a qualification recognised by law, are fully exempt from the GST.   The Odisha TV : 14th. July,17

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s