Service Tax - Commercial training or coaching - Computer training was not exempted during period 10th Sept 2004 to 15th June 2005 : Supreme Court
BY Notification No. 9/2003 - Service Tax, commercial training or coaching by a vocational training institute; a computer training institute; and a recreational training institute , was exempted, for the period from 1.7.2003 to 29.2.20014.
By Notification No. 24/2004 - Service Tax dated 10.09.2004, vocational training institute and a recreational training institute were exempted - that is computer training institute was not included in the exemption.
By Notification No. 19/2005 - Service Tax effective from 16.06.2005, Notification No. 24/2004 was amended to specifically provide that the notification shall not apply to computer training institutes.
Now the question is whether ‘computer training institutes' were exempted for the period 10th September 2004 to 15 th June 2005?
The Tribunal had consistently held that computer training institutes are also vocational training institutes and so eligible for the exemption under Notification No. 24/2004.
But now the Supreme Court has held that Notification No. 24/2004 - ST, did not include the concept of "computer training institute" within its ambit and under the aforesaid notification, exemption was only granted to vocational and recreational training institute.
But it was not argued before the Supreme Court that vocational training institute also includes computer training institute.
We bring you this important Supreme Court decision today.
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