Educational Courses by IIIC Exempt from GST under Notification No. 12/2017-Central Tax

The case involved determining the taxability of educational courses conducted by the Indian Institute of Infrastructure and Construction (IIIC) under GST provisions and the eligibility of the applicant for GST exemption. The ruling concluded that IIIC qualifies as an educational institution under Notification No. 12/2017-Central Tax (Rate) and therefore, the courses conducted at IIIC are exempt from GST.

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Issues Involved:

1. Whether the educational courses conducted by the Indian Institute of Infrastructure and Construction (IIIC) fall under taxable services as per GST provisions.
2. Eligibility of the applicant for GST exemption under Notification No. 12/2017-Central Tax (Rate) dated 28-06-2017.

Issue-wise Detailed Analysis:

1. Taxability of Educational Courses Conducted by IIIC:

The applicant, M/s. Uralungal Labour Contract Co-operative Society Ltd (ULCCS), sought clarification on whether the educational courses conducted at IIIC are taxable under GST. The applicant contended that IIIC is a government-owned institute and the courses are approved by the Government of Kerala, thus seeking exemption under Notification No. 12/2017-Central Tax (Rate).

2. Eligibility for GST Exemption:

Contentions of the Applicant:

The applicant argued that IIIC is a training partner affiliated with the National Skill Development Corporation (NSDC) and that the courses conducted are approved by the Government of Kerala. They provided various government orders and documents to support their claim.

Comments of the Jurisdictional Officer:

The jurisdictional officer noted that the applicant must produce satisfactory evidence showing they are an approved training partner by NSDC and that the services provided relate to specific items listed under clause (i) to (iii) of entry at Sl. No. 69 of Notification No. 12/2017-Central Tax (Rate).

Personal Hearing:

During the personal hearing, the applicant reiterated their contentions and submitted additional documents supporting their claim that the courses conducted by IIIC are government-approved.

Discussion and Conclusion:

First Contention: Affiliation with NSDC

The relevant entry at Sl. No. 69 of Notification No. 12/2017-Central Tax (Rate) provides exemption to services provided by entities such as NSDC, Sector Skill Councils approved by NSDC, and training partners approved by NSDC. The applicant did not produce evidence proving their approval as a training partner by NSDC or Sector Skill Councils in relation to the specified schemes. Thus, the courses conducted at IIIC do not qualify for exemption under this entry.

Second Contention: Approval by Government of Kerala

The relevant entry at Sl. No. 66 of Notification No. 12/2017-Central Tax (Rate) exempts services provided by educational institutions. The term "educational institution" includes institutions providing services as part of a curriculum for obtaining a qualification recognized by law. The applicant provided government orders and documents indicating that IIIC is a government-owned institute and the courses conducted are approved by the Government of Kerala. Consequently, IIIC qualifies as an educational institution under sub-clause (ii) of clause (y) of Paragraph 2 of the notification, and the courses conducted are exempt from GST.

Ruling:

The Indian Institute of Infrastructure and Construction (IIIC) qualifies as an educational institution as defined under clause (y) of Paragraph 2 of Notification No. 12/2017-Central Tax (Rate) dated 28.06.2017. Accordingly, the courses conducted at IIIC are eligible for exemption from GST as per entry at Sl. No. 66 of the said notification.

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