Enbee Education Centre Private Limited Vs Commissioner of C.E. & S.T.-Vadodara-I (CESTAT Ahmedabad)
The services provided amount to “export of service” under Rule 2 read with Rule 3(2) of the Place of Provision of Service Rules
We share the recent order passed by the Hon’ble CESTAT Ahmedabad.
The appellant is providing services to foreign universities. It provides referral services for students. It earns commission from the said universities. The payment is received in convertible foreign exchange. The revenue alleged that the said services do not qualify as export of services under the Place of provision of service Rules,2012. A demand for period from 2012 to 2015 was confirmed along with interest and penalties. Hence, appeal.
Hon’ble CESTAT, Ahmedabad set aside the demands and allowed the appeal. It held: (i) the services provided amount to “export of service” under Rule 2 read with Rule 3(2) of the Place of Provision of Service Rules; (ii) the service does not fall within the definition of “intermediary” service as alleged by the department; (iii) follows earlier decision in the case of Medway Education Consultant; (iv) in any case, service of education provided by educational institute is exempt from payment of service tax in terms of Notification No. 6/2014 dated 11.07.2014.
