TaxTMI 
TaxTMI 
2025 (7) TMI 381
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....oncerned, the applicant has stated the following: • that the service is being provided exclusively to the staff and students of the school from the designated pickup points; • that the service includes daily pick up from specified location and times as agreed by the Trust; • that the name of the school is displayed on the buses; • that for the said transportation service, they receive the payment directly from the parents; • that the applicant was identified by the Trust for the transportation service and that the school communicated the same to the parents. 4. As far as the supply of catering service is concerned, the applicant has stated the following: • that they provide catering service to the students during morning/evening and whenever any events are held in the school; • that the service is being provided exclusively to the staff and students of the school; • that they incur all expense relating to running and maintenance of kitchen utensil including timely repairs, maintenance and service of utensil in the canteen; • the applicant ensures all compliance wi....
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....priate authority under the Gujarat Transport Department in compliance with the relevant rules & regulations; • that one of the essential documents which is an authorization agreement for bus transportation between the bus owner & the education institute is submitted; • that the permit is only for the school bus; • that the applicant is not obligated to obtain the school bus permit exclusively in the name of the school; that the permit can be obtained under the name of the service provider or any other eligible entity; • that in terms of the school bus transportation agreement it is clear that the Fountainhead School has authorized the applicant to operate the bus under school bus permit for 5 years on behalf of the school including safety, bus parking, service area, etc. which clarifies that the applicant is providing the service to the educational institute; • that they would like to rely on the term 'consideration' as defined u/s 2(31) of the CGST Act, 2017 & the judgement in the case of Sangam Travels, ibid wherein it is held that the bus fees can be directly collected from the parents of the school & they would be....
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....ertain provisions. Therefore, unless a mention is specifically made to such dissimilar provisions, a reference to the CGST Act would also mean a reference to the same provisions under the GGST Act. 10. We have considered the submissions made by the applicant in their application for advance ruling as well as the submissions made during the course of personal hearing. We have also considered the issue involved, the relevant facts & the applicant's submission/interpretation of law in respect of question on which the advance ruling is sought. 11. Before adverting to the submissions made by the applicant, we would like to reproduce the relevant provisions for ease of reference: CENTRAL GOODS & SERVICES TAX ACT, 2017 • Section 2. Definitions (31) "consideration" in relation to the supply of goods or services or both includes- (a) any payment made or to be made, whether in money or otherwise, in respect of, in response to, or for the inducement of, the supply of goods or services or both, whether by the recipient or by any other person but shall not include any subsidy given by the Central Government or a State Government; (b) the monetary....
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....s reproduced supra, states that services provided to an educational institution, by way of transportation of students is exempt. The proviso further states that nothing contained in entry (b) shall apply to an educational institution other than an institution providing services by way of pre-school education and education up to higher secondary school or equivalent. 13. Now, the school bus transportation agreement notarized on 16.8.2023, states that the applicant, an established transport provider will provide school bus for transporting students to Fountainhead school within the city of Surat; that the agreement is for 5 years, commencing from 1.4.2023 to 31.3.2028. However, Annexure-I which details the routes, schedules, safety protocols, and other additional terms, is not attached. Likewise, the applicant has also attached the services agreement between the Fountainhead Education Trust and the applicant entered into on 1.4.2023. There are two service agreements, [i] for transportation services and [ii] catering services to students. This agreement has been entered into by the Trust with the applicant, wherein para 3, [which is similarly worded for both the service agreements]....
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.... (i) pre-school education and education up to higher secondary school or equivalent; (ii) education as a part of a curriculum for obtaining a qualification recognised by any law for the time being in force; (iii) education as a part of an approved vocational education course; The applicant's claim is that they are providing services to the educational institution viz Fountainhead School [irrespective of the fact that the agreement has been entered into with the School or the Trust which manages the school]. However, the fact remains that they are collecting the transportation & catering charges directly from the students. The service agreement, paragraph 3 'consideration', states that the Trust is obliged to pay the applicant service provider] such fee as is specified in Schedule-I. Schedule I is already reproduced supra. While the service agreement is silent on the consideration payable by the school as far as the students are concerned, Schedule I states that the applicant will invoice the Trust on a monthly basis for provision of transportation & catering service for the staff. The applicant themselves have mentioned that they are collecting the charges ....
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.... which refund of the tax paid on said exemption services in earlier years can be applied for. Now, section 97 of the CGST Act, 2017, states as follows: Section 97. Application for advance ruling .- (1) An applicant desirous of obtaining an advance ruling under this Chapter may make an application in such form and manner and accompanied by such fee as may be prescribed, stating the question on which the advance ruling is sought. (2) The question on which the advance ruling is sought under this Act, shall be in respect of,- (a) classification of any goods or services or both; (b) applicability of a notification issued under the provisions of this Act; (c) determination of time and value of supply of goods or services or both; (d) admissibility of input tax credit of tax paid or deemed to have been paid; (e) determination of the liability to pay tax on any goods or services or both; (f) whether applicant is required to be registered; (g) whether any particular thing done by the applicant with respect to any goods or services or both amounts to or results in a supply of goods or services or both, ....