service tax on transportation services provided to its students by a Higher Secondary school

[Sanjeev Agrawal]

Whether the above service shall be covered under negative list being part of bundled service of education when separate fees is charged for transportation.

AI Summary

School Transportation Services Exempt from Service Tax Under Mega Exemption Notification 25/2012, Including Student Transport Fees. A discussion forum addressed whether transportation services provided by a higher secondary school to its students are subject to service tax, especially when separate fees are charged. A respondent clarified that these services are exempt from service tax under the Mega Exemption Notification 25/2012, dated 20-6-2012. The exemption applies to services provided to educational institutions in relation to education, including auxiliary educational services like student transportation. The response referenced the CBEC's Taxation of Services Education Guide, which defines auxiliary educational services to include transportation of students, faculty, or staff.