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Taxability of overseas education consultancy

22 August 2021

Taxability of overseas education consultancy both income tax and GST,
1. Is GST applicable for services rendered to foreign University on sending students to the university?

2. Above services is professional service or any under income tax act, and shall we file u/s 44AD presumptive basis if it's turnover doesn't exceed the applicable limit?

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5 Replies

JGM (Knowledge Sharer) (443 Points)
Replied 02 September 2021

Your query is silent as to whether the foreign entity has rep office in India or not, is the query from payer or recipient perspective?

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N.Saravana Kumar (10 Points)
Replied 02 September 2021

Thanks for your response. The foreign University doesn't have any office in india. and the query is from the tax payer perspective.

we are the education consultancy service provider and sending students to University. we doesn't rise any invoice or any just reference. For this we will receive some percentage of commission from the University in convertable currency.

Please advise us.

JGM (Knowledge Sharer) (443 Points)
Replied 02 September 2021

In my view, this could amount to export of services. however, expert on GST views is welcome.

With respect to income tax, one need to peruse the bye laws and understand the exact nature of service to determine whether it can fall under 44AD or not