Service Tax applicability on fees charged for computer hardware & software subjects

[sunil mehta]

A company registered under section 25 of companies act,1956,imparts education in the field of computer hardware & software subjects.It charges fees for the same.It gets benefit under income tax provisions also for the reasons that it carries out educational activities. a)Whether the above services will be covered under 'commercial coaching or training centre'? b)Is the company eligible for exemption as it is regd. under section 25 of companies act,1956?(non profit motive)

AI Summary

Can a Section 25 Company Providing Computer Education Claim Service Tax Exemption for Non-Profit Status? A company registered under section 25 of the Companies Act, 1956, provides education in computer hardware and software, charging fees for these services. It benefits from income tax provisions due to its educational activities. The query is whether these services fall under 'commercial coaching or training centre' and if the company is eligible for service tax exemption due to its non-profit status. One response suggests that 'commercial' implies a profit motive, and financials could demonstrate a non-profit intent. Another response argues that the company cannot claim exemption solely based on its section 25 registration but can argue it is not 'commercial' or that it provides 'teaching' rather than 'coaching.'