In re Center for International Admission and Visas (CIAV) (GST AAR Telangana)
The case of M/s. Center for International Admission and Visas (CIAV) before the Authority for Advance Ruling (AAR) in Telangana revolves around the classification of its services provided to foreign universities and colleges. Here’s a detailed summary of the order:
Background and Facts: CIAV operates by entering agreements with foreign universities and colleges to provide referral services for students aspiring to study abroad. They refer students to these institutions based on their merits and compatibility with the college or university’s requirements. CIAV is paid a commission by the foreign institutions for successful admissions resulting from their referrals.
Questions Raised:
- Whether CIAV’s services qualify as that of an “intermediary” under Section 2(13) of the IGST Act, or are they independent services of “Marketing/Recruitment/Referral Consultant” to foreign universities/colleges?
- Whether CIAV’s activity is subject to GST or qualifies as “export of services” under Section 2(6) of the IGST Act?
Discussion and Findings: The AAR analyzed the terms of CIAV’s agreements with foreign universities and colleges. It was observed that CIAV operates on a principal-to-principal basis, having a direct contractual relationship with the foreign institutions. They do not have any contractual arrangements with the prospective students they refer. The commission received by CIAV is paid by the foreign institutions and not by the students.
