Service Tax Exemption | NSDC Affiliated Training Partners

[Guest]

Are NSDC Training partners exempted from service tax ?

If yes will this exemption be towards the revenue earned from NSDC training only ? or will it extend to revenue generated from other sources as well ?

[Rajagopalan Ranganathan]

Sir,

As per Sl. No. 9A of Notification No. 25/2012-ST dated 20.6.2012 as amended,

" Any services provided by, _

(i) the National Skill Development Corporation set up by the Government of India;

(ii) a Sector Skill Council approved by the National Skill Development Corporation;

(iii) an assessment agency approved by the Sector Skill Council or the National Skill Development Corporation;

(iv) a training partner approved by the National Skill Development Corporation or the Sector Skill Council

in relation to (a) the National Skill Development Programme implemented by the National Skill Development Corporation; or (b) a vocational skill development course under the National Skill Certification and Monetary Reward Scheme; or (c) any other Scheme implemented by the National Skill Development Corporation.

From the above it is clear that only services rendered by (a) the National Skill Development Programme implemented by the National Skill Development Corporation; or (b) a vocational skill development course under the National Skill Certification and Monetary Reward Scheme; or (c) any other Scheme implemented by the National Skill Development Corporation are exempted from service tax. Revenue generated through other sources are liable to service tax.

[KASTURI SETHI]

I support the views of Sh.Ranganathan, sir.

AI Summary

Service tax exemption for NSDC-related training applies only to services under NSDC schemes; other revenue remains taxable. The service tax exemption covers services by NSDC, approved Sector Skill Councils, approved assessment agencies, and approved training partners only when rendered in relation to the National Skill Development Programme, vocational courses under the National Skill Certification and Monetary Reward Scheme, or any other scheme implemented by NSDC; revenue from other sources is liable to service tax.