The Joint Commissioner of Central Goods and Services Tax (GST) had served a show cause notice to Goa University (GU) as to why GST of Rs 4.84 crore should not be charged (including penalty and interest) on the taxable value of Rs 27.45 crore collected from the university’s affiliated colleges. The High Court of Bombay at Goa ruled that the affiliation fees cannot be subjected to GST, because the university’s activity is not commercial.
The HC observed that without affiliations, no college can enrol students, conduct courses and exams, or award degrees. Furthermore, the GU conducts exams and awards degrees, and hence the fees are exempt from GST. Hopefully, the case is closed and the Commissioner’s office does not approach the Supreme Court.
Those who pay taxes are taxed repeatedly. People who pay GST are GSTed again, in different ways. Already, it is too taxing to educate children and parents pay high fees. If schools, colleges, and universities are made to shell out GST, then these organisations would recover the same from parents by increasing the fees. It is the height (or low) to ask GST from the GU. The GU is Generating Students with Talent (GST), and not earning huge income from affiliated colleges.
Interestingly, the authorities do not force the casinos to pay the Rs 250 crore due to the government, which is the pending amount for the renewal of licences during the COVID period.
