As Finance Minister Nirmala Sitharaman prepares to present the Union Budget for the current financial year on July 23, stakeholders in the education sector have expressed high hopes for reforms and increased financial support.
GST Exemptions for Low-Income Students
Experts have emphasised the need for GST exemptions on educational expenses for students from Below Poverty Line (BPL) and Low Income Group (LIG) families.
Prateek Maheshwari, co-founder of ed-tech platform Physics Wallah, said, “There is an urgent need for 100 per cent GST exemption on educational expenses for students from Below Poverty Line (BPL) and Low Income Group (LIG) families. The 18 per cent tax rate on education services, including test prep and skill courses, is excessively high and burdensome. The government must devise mechanisms to make quality education more affordable and eliminate ambiguities in GST exemptions related to student housing.”
Study Abroad, Global Partnerships and Reduced Interest Rates
In recent years, there has been a shift towards studying abroad, where more and more Indian students seek to go abroad for their higher education. However, hurdles like managing the expenses or getting an easy education loan stand in between many such dreams.
Speaking of the GST in the international education sector, Pankaj Dhingra, Co-Founder & Managing Partner of FinTram Global, talked about how there are high hopes for reduced GST on international qualifications, easier access to educational loans, and improved employment prospects for certified professionals.
“These measures would make global education more affordable and help develop a highly skilled workforce,” he said.
Read more at: bt Business Today
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