Export of services confirmed for education consultancy support to foreign universities; incidental student assistance did not make the provider an intermediary.

An Indian entity providing education consultancy, marketing and recruitment support to foreign universities on a contractual basis was not an intermediary because the foreign university remained the contractual recipient, invoices were raised on it, and consideration was paid by it; incidental assistance to students in India did not change the character of the service. The refund denial based on a contrary premise was unsustainable, and the services qualified as export of services. Refund was therefore directed to be processed and granted with applicable statutory interest.

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Issues: Whether education consultancy, marketing and recruitment support services rendered by an Indian entity to foreign universities constitute export of services or intermediary services, and whether the refund claim rejecting such services as intermediary services was sustainable.

Analysis: The Court held that the controversy was covered by its earlier decision on materially similar facts. Where the Indian entity contracts with foreign universities, raises invoices on them, receives consideration from them, and does not charge the students, the contractual recipient of the service remains the foreign university. Incidental assistance to students in India does not by itself convert the service provider into an intermediary. The same approach was consistent with the Bombay High Court decision in a similar education-consultancy context, and the factual matrix in the present case was materially identical. The impugned order proceeded on the mistaken premise that promotion of courses, counselling, and recruitment support to foreign universities necessarily amounts to acting as an agent or intermediary.

Conclusion: The petitioner was not an intermediary and the services qualified as export of services. The refund rejection was unsustainable and the refund was directed to be processed and granted with applicable statutory interest.

Ratio Decidendi: An Indian entity supplying consultancy, marketing, or recruitment support to a foreign university on a contractual basis, for consideration payable by the foreign university, does not become an intermediary merely because the services incidentally facilitate admissions or recruitment of students in India.

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