Coaching centre have profession or business

Yes.  The commercial coaching given to the students to prepare them to prepare for university degree exam is liable for service tax.

You income will be considered as professional income only if you are earning as a tutor. But, as you said, you hire tutor from market, then you are running an education business.

Whatever tutors are getting from you is their professional income. But whatever you are receiving from Students that is business income.

You are liable to pay service tax as gross receipts are more than INR 10 lakhs.

Tax audit is not appliable to your as your gross receipts are less than INR 1 crore.

Regards

Vineet

www.financeandtaxhub.blogspot.com

Agreed with Vineet !!

Dear all

Thank for sweet reply, I know that that is bussiness income. Paid to Tutor on  complete Course. which type would be expenses ? this is not salary expenses becouse not relation of employee & employer, I have contact of  Tutor for NDA complete Course  like as  other course.  TDS  is applicable or not. I think TDS is not applicable  becouse Bussines is not cross 1 crore. please reply on urgent basis. I am right or wrong.

Payment to Tutors will be treated as professional expenses.

TDS is not applicable.

Regards

Vineet