Sale of study material by coaching centre

[satbir singhwahi]

Sale of study material by coaching centre , vat is paid . Now service tax audit team asking for service tax .Whether service tax applicable when vat already paid?

AI Summary

Coaching Center Queries Service Tax on Study Materials Despite VAT; CESTAT Order Suggests Exemption for Standard Textbooks. A coaching center inquired whether service tax applies to the sale of study materials when VAT has already been paid. One response highlighted that if VAT is paid with proper documentation, an exemption can be claimed, referencing a specific case. Another response suggested that since the primary intention is education, the transaction is liable for service tax, with study materials being incidental. A third response referenced a CESTAT order, indicating that exemptions apply only to standard textbooks and advised contesting the audit objection without making any payments, suggesting a speaking order be sought for appeal.