Page 106 - GSTL_20th August 2020_Vol 39_Part 3

320 GST LAW TIMES [ Vol. 39
Classes (HSC)] is a two-years course conducted by Board of Intermediate Educa-
tion Andhra Pradesh (BIEAP) or any other State Government. The student un-
dergoes coaching for obtaining the intermediate qualification and the students
who passed the examination conducted by the Board wall be awarded a Marks
Memorandum by the respective State Boards.
4.26 Therefore, the applicant satisfied the third limb of the definition of
the term ‘educational institution’ to avail the exemption as it is imparting coach-
ing to the students for obtaining qualifications recognized under any Law.
4.27 As per the entry in the exemption notification under GST, if the
coaching is provided by an educational institution to its students for obtaining a
qualification it is exempted. The phrase ‘for obtaining a qualification’ is unam-
biguous. The student takes the coaching for obtaining a qualification by himself.
The institution has no role except coaching the students to enable him to obtain
the qualification.
4.28 In the past, the department contended that the exemption is to be
provided only if the educational institution is (a) affiliated to ICAI and ICWAI
(b) has an authorization or accreditation or affiliation or MOU or any partnership
with these institutes (c) having a role in the entire scheme of issue of CA/CMA
certificates. But this argument was not accepted even by the Commissioner of
GST and Central Tax, Guntur in his Original Order No. 22/2013-S.T., dated 29-3-
2013 as explained above.
4.29 As already explained above, it is a settled legal position that words
in a notification or statute shall be read as they are and no word shall be added
or deleted for reading the statute. In the case of Commissioner v. Reliance Petroleum
Ltd. - 2008 (227) E.L.T. 3 (S.C.), the Hon’ble Apex Court has held that an exemp-
tion notification should be read literally and to be construed liberally. As held by
the Hon’ble Supreme Court in the case of Commissioner of Customs (Prev.), Amrit-
sar v. Malwa Industries Ltd. - 2009 (235) E.L.T. 214 (S.C.), exemption notification
cannot be unduly stretched to produce unintended results in derogation of the
plain language employed therein. Thus, when the words employed in the legisla-
tion are simple, plain and unambiguous there is no reason to qualify or restrict
by addition or deletion of any other words.
4.30 The essential condition, as seen from the definition of the term
‘educational institution’, is that, providing service as education as a part of a cur-
riculum for obtaining a qualification recognized by any law for the time being in
force. This has been satisfied by the applicant as detailed above. The coaching
provided for CA, ICWA etc., can be distinguished with the coaching given for IIT
exam etc., inasmuch as the coaching for IIT exams etc., is not for obtaining any
qualification but for joining in another course. The coaching for IIT is not part of
the course the student joins. Once the test is conducted the students have to fur-
ther opt for the courses and pursue any one of them. In the case of coaching for
CA, ICWA etc., the coaching is meant for obtaining the same specific qualifica-
tion. Registration number allotted by these institutes at the time of for their
foundation courses will be continued till their final exam. In case of EAMCET
etc., student needs to pay only exam fee but not registration fee, whereas in the
case of CA Foundation, student has to enroll with the ICAI/ICWAI Institute and
pay Registration fee and exam fee also. EMCET/IIT entrance examinations are
conducted on the syllabus of Intermediate Education but do not have any specif-
ic syllabus/curriculum and not part of the Course that is going to be admitted
into it, whereas, Foundation for CA/CMA is having specific syllabus, duration,
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