service tax on computer education provided to school children

[Asked by Guest]

sir, i would like to know that whether i need to pay service tax for imparting computer education in school, my arguments towards not following under the preview of service tax is ... firstly we are conducting this during school hours, in the school classroom and are curriculum based...for this the setup has been done by us and school has been given unconditional rights to use the computers, since the schools do not have IT subject experts to educate the students hence we have provided teachers from our end who are on our payroll for the same... please advice also in light of clarrification given on page 22 and 23 of dof no 334/8/2016-tru dt 29 feb 2016

[Ganeshan Kalyani]

Sir I think the arrangement might get covered under supply of manpower. supply of manpower is a taxable service. Thanks.

[KASTURI SETHI]

Sh.Shankar Pisal Ji,

In this case not only 'Manpower Supply' is involved but service,namely, 'Right to Use of Tangible Goods' is also involved. Two services are involved.Both are taxable. You must have executed agreement with School Authorities. Fool-proof reply is possibly only after going through the terms and conditions of the agreement.

[Ganeshan Kalyani]

Hope the query is resolved.

AI Summary

Manpower supply and right to use tangible goods: such services can attract service tax when provided to schools.
The provision of computer education to schoolchildren by an external provider involves two taxable components: Manpower Supply (teachers supplied on the provider's payroll) and Right to Use of Tangible Goods (computers supplied for school use). Both components are likely subject to service tax unless an exemption or specific exclusion applies; resolution depends on the contractual terms between provider and school and applicable official clarifications.