Service tax applicability on Skill Development centre

[Ganeshan Kalyani]

Dear Sir,

I came across an invoice which provides 'Skill development' courses to the candidate. The bill raised does not have service tax element. Kindly provide any notification number or any other relevant reference supporting the scenario where service tax is not charged by the service provider.

regards,

ganeshan

[Guest]

Education as a part of Approved Vocational Courses is covered by Negative List under section 66D (l). Apart, skill development course provided by National Skill Development Corporation and their training partners etc. is included in entry No. 9A of the Mega Exemption Notification No. 25/2012-ST as amended by Notification No. 13/2013-ST dated 10.9.2013

[Madhukar N Hiregange]

Most vocational course unless approved as said by Ashish would be taxable. There is substantial non compliance due to changing laws.

AI Summary

Skill Development Courses May Be Exempt from Service Tax under Section 66D and Mega Exemption Notification No. 25/2012-ST. A query was raised regarding the absence of service tax on invoices for skill development courses. One response highlighted that education, as part of approved vocational courses, falls under the Negative List per section 66D (l), and skill development courses provided by the National Skill Development Corporation are exempt under entry No. 9A of the Mega Exemption Notification No. 25/2012-ST, amended by Notification No. 13/2013-ST. Another response noted that most vocational courses are taxable unless approved, with substantial non-compliance due to evolving laws.