Applicant Name:

Logic Management Training Institutes Pvt. Ltd.

Appeal No.:

AAAR/13/21

Ruling pronounced by:

AAAR Kerala

Date of Ruling:

05-05-2021

The Appellant ‘Logic Management Training Institutes Pvt. Ltd.’ appealed against the AAR, Kerala ruling wherein it was held that institutes imparting education to students for becoming Chartered Accountant (CA), Cost Accountant, Company Secretary (CS), Certified Management Accountant (CMA) etc. are not covered under the definition of ‘educational institution’ in Para 2(y) of the Notification No. 12/2017 Central Tax (Rate) dated June 28^th, 2017 (“Services Exemption Notification”).

• AAAR Kerala observed that the appellant is not providing any elementary education or pre-school or upto higher secondary level or equivalent, nor it is engaged in providing education as a part of approved vocational education course.
• Further, the Appellant is not issuing any certificate or degree and it is not mandatory for student to take coaching from institutions like that of Appellant’s for becoming, CA, CS, CMA etc.

• Held that the appellant cannot be categorized as ‘educational institution’ and upheld the ruling of AAR, Kerala.
• It is further clarified that conduct of degree courses by colleges, universities or institutions which lead to grant of qualifications would be covered under the definition of “educational institutions” and training given by private coaching institutes would not be covered, as such training does not lead to grant of recognised qualification.