Ludhiana: Teachers Union writes to edu secretary, demands exemption from 18% GST

Private schools’ teachers’ union, Joint Action Front, has written to the state education secretary, opposing the directive issued by the Punjab School Education Board last month which mandates 18% GST imposition on continuation fees payable by e-affiliated schools for the academic session 2024-2025. They added that the imposition of GST on schools will only serve to compound the financial burden already borne by educational institutions and families.

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Punjab Joint Action Front general secretary JP Bhatt further informed that before GST imposition, the schools were required to pay ₹5,000 and ₹8,000 for class 5 and 8 respectively and this year the last date to submit the fees to PSEB with additional GST is August 19. There are nearly 1,000 such schools in the district. The educators have requested to repeal this directive set forth by the Punjab School Education Board. “The elimination of such impositions will not only provide much-needed relief to educational institutions but will also alleviate financial burden on families,” he said.

Under the Central Goods and Services Tax Act, 2017, educational services provided by educational institutions up to the higher secondary level are treated as exempted services under Schedule III of the Act. “Pre-school education and education up to higher secondary school or equivalent, educational services provided by educational institutions to the students, faculty, and staff, related services like transportation of students, faculty and staff, along with catering services (such as mid-day meal schemes), cleaning, and housekeeping, up to higher secondary school are also exempted from GST,” added Bhatt.

“The fees for entrance examinations, for issuance of eligibility certificates for admission, for the issuance of migration certificates to students (whether leaving or ex-students) are also exempted,” he said.

“Exemption from mandatory 18% GST which has been imposed for the first time, will enhance educational accessibility, make it more affordable, and alleviate the financial strain on parents and students alike,” said Bhatt.

Source: Hindustan Times

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