Service tax for educational institution

The relevant portion of notification 25/2012 is reproduced below for reference:

9.    Services provided to or by an educational institution in respect of education     exempted from service tax, by way of,-

1. auxiliary educational services; or
2. renting of immovable property;

It could be observed that, services provided by an educational institution in respect of education is only exempt.  However, if it is for commercial purposes not relating to education, I doubt whether exemption could be availed.

Rgds,

CA Kanagaraj R

Please note that Entry No. 9 under NN. 25/2012 has been amended vide notification no. 3/2013 dated 1-3-2013. And the word " or by" has been removed. Therefore now modified text is as under:

9. Services provided to or by an educational institution in respect of education exempted from service tax, by way of,-

(a)     auxiliary educational services; or

(b)     renting of immovable property;

Therefore, renting of immovable property by educational institution is TAXABLE.