Asset Classification for Depreciation

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This query is : Resolved

Shafi Qureshi (Querist)

08 April 2009 Should an ATM Machine be classified under Other Plant & Machineries eligible for depreciation @ 15% or Computer eligible for depreciation rate @ 60%?

CA Sunanda Badgujar

CA Sunanda Badgujar (Querist)

08 April 2009 Hello to all,
one of our client running a coaching instituation for 8th, 9th & 10th classes. their stand is that services provided to 8th & 9th Satadard is not taxable only service provided to 10th is taxable.
by plain reading of the material on the same service it is not so clear to me.
So, I request you all to take a little effort to solve my query.

SIDDHARTHA SANKAR ROY

SIDDHARTHA SANKAR ROY (Expert)

08 April 2009 The definition of Commercial coaching& training Centre does not include preschool coaching and training centres. Your client's contention is not correct as 8th, 9th & 10th classes donot come under preschool.

Madhukar N Hiregange

Madhukar N Hiregange (Expert)

15 April 2009 In my opinion there is a clear liability for the coaching and there is no exemption provided for the same. Your client would be required to pay.
Advisable that he pays for the future after collecting the same from the students immediately and also for the past 1 year on a cum tax basis.

Dayal

Dayal (Expert)

18 April 2009 “Commercial training or coaching centre” means any institute or establishment providing commercial training or coaching for imparting skill or knowledge or lessons on any subject or field other than the sports, with or without issuance of a certificate and includes coaching or tutorial classes but does not include preschool coaching and training centre or any institute or establishment which issues any certificate or diploma or degree or any educational qualification recognized by law for the time being in force;

It is clarified that service tax is on institution /establishments. Therefore, only those service providers are covered under the service tax who have some establishment for providing commercial coaching or training i.e. institution coaching or training

From the above reading it is clear that it stands covered, since it does not issue any certificates.

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