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Published on: Jun 24, 2026

Gst On Educational Services

GST is an indirect tax levied on all goods and services in India. With the Government aiming to foster education to every child, essential educational services have been kept out of the ambit of GST. However, certain educational courses and training programmes attract GST. Hence, the applicability of GST would depend on the type of course and its provider. In this article, we look at Gst On Educational Services in detail.

GST Rate on Education Services

The SAC code and 1 for educational services are as below:

Chapter/ Section/Heading

Description of Service

Rate
9992 Education Services 18%
9992 Services provided – NIL
(a) by an educational institution to its students, faculty and staff;
(b) to an educational institution, by way of, –
(i)  transportation of students, faculty and staff;
(ii) catering, including any mid-day meals scheme sponsored by the Central Government, State Government or Union territory;
(iii) security or cleaning or housekeeping services performed in such educational institution;
(iv) services relating to admission to, or conduct of examination by, such institution; up to higher secondary:
 Provided 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
9992 Services provided by the Indian Institutes of Management, as per the guidelines of the Central Government, to their students, by way of the following educational programmes, except Executive Development Programme
 (a) two-year full-time Post Graduate Programmes in Management for the Post Graduate Diploma in Management, to which admissions are made on the basis of Common Admission Test (CAT) conducted by the Indian Institute of Management;
(b) fellow programme in Management;
(c) five-year integrated programme in Management.
90 or any Chapter Technical aids for education, rehabilitation, vocational training and employment of the blind such as Braille typewriters, braille watches, teaching and learning aids, games and other instruments and vocational aids specifically adapted for the use of the blind Braille instruments, paper etc. 5%

As evidenced by above, school education, preschools to post0graduation have been exempted from GST. This will ensure that students are not taxed on payments made to educational institutions. However, some of the programmes will attract taxes under GST. These include non-conventional courses of short duration, training programmes for working people and educational events organised by a foreign-based entity. Therefore, students and professionals, enrolled in such educational programmes will probably end up spending more in terms of fees and taxes.

Also read: GST on Coaching Class

Place of Supply for Educational Services

GST must be collected and remitted by the supplier of services. While levying GST, the supplier must make a distinction between interstate

and intra-state supply to levy IGST or CGST and SGST. For educational services, the place of supply can be determined as follows:
  • If supply is made to a person having GST registration, the place of supply would be the location of such person.
  • If supply is made to a person other than a registered person, then the place of supply would be where the event is held.

Charitable Trust

Charitable Trusts running educational institutions are exempt from GST. Apart from the general exemption available to all educational institutions, charitable activities of entities listed under Section 12AA of the Income Tax Act is also exempt. The term charitable activity, as defined in the notification, is as follows: If a trust involves in educating orphans, homeless children, physically/mentally challenged persons, the needy etc., residing in rural areas, it would be treated as charitable and such incomes would be excluded from GST.

Composite and Mixed Supply

If utilities for education, lodging and boarding provided by the boarding schools are combined into a single structure, it is exempted from GST. If the value of education or lodging or boarding is attached, then these services are bundled, and their taxability will be determined in terms of the principles laid down. In case the fee structure is distinct for education, lodging and boarding, then such services would be evaluated separately. Since its service determines the predominant factor of education, the idea of providing residence will not be considered taxable. Know more about

GST composite and mixed supply.
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Frequently Asked Questions

Common questions about GST on Educational Services in India: Regulations and Rates.

According to the article, essential educational services such as school education from pre-schools to post-graduation have been exempted from GST. This includes services provided by an educational institution to its students, faculty, and staff, as well as certain auxiliary services like transportation, catering, security, and admission-related services.
Yes, the article mentions that certain non-conventional courses of short duration, training programmes for working professionals, and educational events organized by foreign-based entities may attract GST. Additionally, executive development programmes offered by Indian Institutes of Management are subject to GST.
For educational services provided to a person with GST registration, the place of supply is considered to be the location of the recipient. If the services are provided to an unregistered person, the place of supply is determined by the location where the event is held.
Yes, charitable trusts running educational institutions are exempt from GST, provided they are listed under Section 12AA of the Income Tax Act and engage in charitable activities like educating orphans, homeless children, physically/mentally challenged persons, or the needy residing in rural areas.
If utilities for education, lodging, and boarding provided by boarding schools are combined into a single structure, it is exempt from GST. However, if the fee structure is distinct for these services, they will be evaluated separately, and the predominant factor of education will determine the taxability.
The standard GST rate for educational services is 18%. However, certain educational services, such as those provided by educational institutions to their students, faculty, and staff, as well as auxiliary services like transportation and catering, are exempt from GST.
Yes, technical aids for education, rehabilitation, vocational training, and employment of the blind, such as Braille typewriters, watches, teaching and learning aids, games, and other instruments specifically adapted for the use of the blind, are subject to a 5% GST rate.
According to the article, educational services provided by IIMs to their students for certain programmes, such as two-year full-time Post Graduate Programmes in Management, fellow programmes in Management, and five-year integrated programmes in Management, are exempt from GST. However, Executive Development Programmes offered by IIMs are subject to GST.
Services related to admission or conduct of examinations by educational institutions up to the higher secondary level are exempt from GST. This exemption is not applicable to educational institutions other than those providing pre-school education and education up to higher secondary school or equivalent.
Yes, catering services, including mid-day meal schemes sponsored by the Central Government, State Government, or Union Territory, provided to educational institutions are exempt from GST, as per the article.