The Karnataka Authority of Advance Ruling (AAR) has held that no goods and service tax (GST) is payable on Market led Fee-based Services Scheme.
The bench of Pratap Kumar S and Kalyanam Rajesh Rama Rao has observed that the Applicant has also stated that they have entered into an agreement with NSDC for executing the “Market led Fee-based Services” scheme which is introduced and implemented by the NSDC. Thus, the applicant has satisfied the second condition also. Since the Applicant has satisfied both the conditions, the services provided by the Applicant in the instant case are exempted.
The Applicant stated that they are an online education company offering training in various domains such as Big Data, Data Science, Artificial Intelligence, Business Intelligence, Cloud Computing, and more; that they provide various forms of courses designed to cater to the needs of working professionals, offering flexible learning schedules, instructor-led training, and hands-on projects to enhance learning experiences which aims to enhance the skills of working professionals.
The Applicant stated that they provide courses in participation with National Skill Development Corporation; that NSDC approves various entities to carry out the national skill development programs and such approved entities are given the status of ‘Approved Training Partner’; that the training program shall be subject to the terms and conditions provided by NSDC.
The applicant sought the advance ruling on the issue applicable GST rate on the services provided by the applicant under the “Market led Fee-based Services Scheme”.
The AAR ruled that since the Applicant has satisfied both the conditions namely they have to be a training partner approved by the National Skill Development Corporation; and Services provided should be in relation to the National Skill Development Programme or any other scheme implemented by the NSDC. Therefore, the services provided by the Applicant in the are exempted.
Ruling Details
Applicant’s Name: M/s. INTELLIPAAT SOFTWARE SOLUTIONS PVT. LTD.
Ruling Date: Advance Ruling No. KAR ADRG 28/2025
