GST Council Imposes 18% GST on Private School Affiliation Fees



Quick Summary
The 54th GST Council has ruled that private schools must pay an 18% Goods and Services Tax (GST) on affiliation fees charged by boards like PSEB and CBSE. This decision has led to immediate opposition from school associations, with some already challenging the directive in court. While government schools are exempt, private institutions are anticipating higher costs, particularly during affiliation renewals.

The 54th GST Council meeting brought an unexpected blow to private schools affiliated with boards such as the Punjab School Education Board (PSEB) and the Central Board of Secondary Education (CBSE). The Council declared that the affiliation services provided by these boards are taxable, mandating private schools to pay GST on their affiliation fees moving forward. This decision has already sparked opposition, with several school associations, including the School Sangh, moving to the High Cour
Daily Limit Reached

You have reached your daily limit of 2 Free News

Subscribe to CCI PRO for unlimited access

Why Upgrade to CCI PRO?
  • No Ads
  • WhatsApp Community
  • Daily E-Newsletter
  • Unlimited News Access
  • Profile Visitors
  • Link Social Profiles
  • Featured Job Posts
  • Pro Badge
  • Expert GST Guidance
  • Unlimited Forum Replies
  • Download Content in PDF
1 Year PLAN
1999
(Excl. of GST ₹359)

2 Years PLAN
3499
(Excl. of GST ₹629)

BEST VALUE
3 Years PLAN
4999
(Excl. of GST ₹899)

View all CCI PRO benefits

Already a PRO member? Login here for an ad-free experience. 07941056694

FAQ :

The GST Council has imposed an 18% GST on affiliation fees for private schools.

Private schools affiliated with boards such as the Punjab School Education Board (PSEB) and the Central Board of Secondary Education (CBSE) are affected.

No, government schools are exempt from this GST rule.

For new affiliation with PSEB, private schools pay Rs 1.5 lakh in affiliation fees plus Rs 27,000 as GST. Senior secondary schools pay Rs 50,000 in affiliation fees and Rs 9,000 in GST.

Yes, several school associations, including the School Sangh, have moved to the High Court to challenge the directive. The Federation of Private School and Association of Punjab has secured a court stay.

A hearing for the legal challenge is set for October.




News posted by

Finance news reporter covering taxation, GST, income tax, business compliance, and economy updates. I simplify complex financial topics into easy-to-understand articles for professionals, taxpayers, and business owners on leading finance and tax platforms.

Comments :


More »

Popular News





CCI Pro



Company
ARTICLESHIP 23 October 2026
Articled Trainee

J Y & CO

Hyderabad

CA Inter

View Details
Company
Featured 03 October 2026
Accountant

A P Lodha and Associates

Jalna

B.Com

View Details
Company
12 October 2026
Chartered Accountant - Internal Audit

HKC | Chartered Accountants & Business Advisors

Ludhiana

CA

View Details
Company
08 October 2026
Account Executive

Elite Taxation

New Delhi

CA Foundation

View Details
Company
ARTICLESHIP 07 October 2026
Article assistant

S.K.Bajpai & Co.

Noida

B.Com

View Details
Company
15 October 2026
Senior Accountant

Continental Belting Pvt Ltd

Mumbai

B.Com

View Details
Company
ARTICLESHIP 25 October 2026
Article Intern (CA Articleship)

Arpan Bohra & Co

Hyderabad

CA Inter

View Details
Company
ARTICLESHIP 17 October 2026
Articled Assistant

RRPM & Associates LLP

Chennai

CA Inter

View Details