Coaching Federation urges GST cut on coaching services to ease fee burden
India Today
The Coaching Federation of India pressed for lower GST rates on coaching and supplementary education, highlighting rising costs for parents and small centres. The representation cited the need for rationalisation to match changing education needs and national policy goals.
On January 28, the Coaching Federation of India (CFI) submitted a representation to Finance Minister Nirmala Sitharaman, calling for a reduction in Goods and Services Tax (GST) on coaching and supplementary education services.
The Federation, which represents many coaching centres across the country, argued that the current tax regime is pushing up costs for parents and putting pressure on small coaching businesses.
The CFI requested that GST be brought down to 5 percent or completely removed for these services.
In its submission, the Federation explained that coaching institutes, unlike manufacturing or trading firms, have limited options for input tax credit. This means the entire GST gets added directly to student fees.
"As a result, the Goods and Services Tax (GST) becomes a direct add-on to student fees, effectively shifting the burden to parents," the Federation stated in its letter to the finance minister.
The CFI also noted that coaching has become an essential service for many families.
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