Society providing education

[Vipan Kumar]

Sir,

Our institution is registered as society, which is providing education to Judges. It is non profit organisation. It is running fully on the basis of grants received from the state governments. Please advice whether the services received by this institution i.e. House keeping, Security etc. are exempt from Service Tax. Please quote the relevant rules or notifications, if any in this regard.

Thanx

Vipan Kumar

[Ganeshan Kalyani]

In my view service tax is applicable on the service received by the Society . However there is exemption on the service provided by the society if it is registered under section 12AA of Income Tax Act.

AI Summary

Service tax applicability on services received by educational societies; exemption applies only to services provided by 12AA-registered societies. Service tax is chargeable on services received by a nonprofit educational society funded by government grants (such as housekeeping and security). An exemption is available only for services provided by a society that is registered under section 12AA of the Income Tax Act; registration does not automatically exempt outsourced support services received by the institution.