M/s The Leprosy Mission Trust India Jangir Champa, Chhattisgarh, (TLMTI) [hereinafter also referred to as the applicant has field an application U/s 97 of the Chhattisgarh Goods & Services Tax Act, 2017 seeking advance ruling as to whether services provided under vocational training courses recognized by National Council for vocational training (NCVT) or Jan Shikshan Santhan (JSS) is exempt either under entry No. 64 of exemption goods and Services Tax Act, 2017 or under Educational Institution defined under Notification 22/Central Ta (Rate).
2. Facts of the case:-
i. The Leprosy Mission Trust India (TLMTI) is a society registered under section 12A of the Income Tax Act, 1961 and further income of the society is exempt u/s 11 of the Income Tax Act, 1961.
ii. TLMTI, established in the year 1973, is the largest Non-Government Organization (NGO) in India working with and for people affected by Leprosy TLMTI works closely with the Government of India, State Governments, World Health Organization and other likeminded national international organization in the areas of Health, Education. Sustainable Livelihoods, Community Development. Advocacy and Research. TLMTI’s 14 Leprosy Referrals, 6 Vocational Training Institutes, a Media Centre Undertaking Media advocacy and communication, a state of the art Molecular Biology Research Laboratory, 5 Mercy homes/ Snehalayas for the care of elderly Leprosy disables people and a number of community-based development projects are spread over 9 States in India.
The activities of the Society are charitable in nature and within the meaning of section 2(15) of the Income Tax Act, 1961 undertaking Medical Relief, Relief of poor and Education.
iii. All the twenty-two branches of the Leprosy Mission Trust India are registered under Goods and Services Tax Act, 2017.
iv. The Leprosy Mission Trust India provide following Vocational Training Courses of Champa.
Vocational Training Courses recognized under National Council for Vocational Training (NCVT) such as Diesel Mechanic, COPA, Electrician.
3. Contentions of the Applicant:- The applicant’s contention is
i. According to Notification No. 22 of Central Tax (Rate), dated 28th June 2017 Educational Institution is defined as
“educational institution” means an institution providing services by way of.- (i) pre-school education and education up to higher secondary school or equivalent; (ii) education as a part of a curriculum for obtaining a qualification recognized by any law for the time being in force; (iii) education as a part of an approved vocational education course. The applicant Society falls under Clause iii as institution providing education services.
According to Notification 22 of Central Tax (Rate), approved vocational training is defined as
“approved Vocational education course” means,- (i) a course run by an industrial training institute or an industrial training centre affiliated to the National Council for vocational training offering courses in designated trades Skill Course approved by the National Council of Vocational Training, run by person registered with the Directorate General of Training, Ministry of Skill Development and Entrepreneurship.
ii. According to Entry No.64 Exemption List under Goods and Services Tax, 2017 services provided by training providers (project implementation agencies) under Deen Dayal Upadhyaya Grameen Kaushalya Yojana implemented by the Ministry of Rural Development, Government of India by way of offering skill or vocational training Courses certified by the National Council for Vocational Training are exempt. The appellant Society also provide courses approved by National Council for Vocational Training.
In view of the above applicant seeks ruling whether Vocational Training courses (Under NCVT. JSS and Others) conducted by The Leprosy Mission Trust India Vocational Training Centre, Janjgri, Champ (C.G), as listed in Annexure 1 are exempt under educational service or vide entry 64 of Exemption list.
4. Personal Hearing:-
Keeping with the established principles of natural justice, personal hearing in the matter was extended to the applicant and and accordingly their authorized representative Shri Ajay Singh, F.C.A, and Shri Abhay Upadhye F.C.A, appeared before the authority
for hearing on 13/03/2020 and reiterated their content on. They also furnished a written submission doted 13/03/2020 which has beer token on record.
5. The legal position. Analysis and Discussion:-
At the very outset we would like to make it clear that the provisions for implementing the CGST Act and the chhattisgarh GST Act, 2017 [hereinafter referred to as “the CGST Act and the CCU SST Act”) are similar and this, unless a mention is specifically made to such dissimilar provisions, a reference to the CL ST Act would also mean a reference to the same provisions under the CGGST Act, 2017. Now we sequentially proceed to discuss !he issues involved in the ruling so sought by the applicant and the law as applicable :n to the present case.
The applicant sought advance ruling on the points as under:-
5.1 Whether services provided under vocational training courses recognized by national Council for Vocational Training (NCVT) or Jan Shikshan Sansthan (as specified in annexure 1 below) is exempt either under Entry No. 64 of exemption list of goods and services Tax act 2017 or under educational Institution defined under Notification 22 of Central Tax (rate), dated 28th June 2017
6.3 The applicant has submitted the following additional certificates/affiliation letter along with the written submission during the personal hearing-
(a) Copy of affiliation as industrial training Institute in respect of formal trades such as diesel mechanic, computer operator and programming Assistance (COPA) and electrician with National Council for vocational training (NCVT), Government of India, Ministry of skill development and entrepreneurship, Director General of Training vide order no. DGET-12/01/2015-1C dated 25th August 2015.
(b) Copy of certificate issued by Government of India, Ministry of skill development and Entrepreneurship in respect of National Council for Vocational training (NCVT) course for Diesel Mechanic.
(c) Copy of certificate issued by G0vernment of India. Ministry of Skill development and Entrepreneurship in respect of National Council for Vocational Training INCVT) course for Computer Operator and programming Assistance (COPA)
(d) Copy of certificate issued by Government of India, Ministry of Skill development and Entrepreneurship in respect of National Council for Vocational Training (NCVT) for the course for Electrician.