Demand for 5 percent GST or complete exemption on coaching

According to news agency PTI, the New Delhi-based Coaching Federation of India (CFI) claims to represent a large number of coaching centers across the country. A representation given by the federation on January 28 demanded reduction of GST on coaching services to 5 percent or complete exemption.

GST is added to students’ fees

The federation said that GST is directly added to the students’ fees and its impact falls on the parents of students joining coaching who pay GST along with the fees. Coaching institutes have limited ability to offset tax through input tax credit.

If GST rate is reduced then you will get relief like this

Currently, 18 percent GST is levied on coaching centers and online tuition. When a competitor joins coaching to prepare for competitive exams, he has to pay GST along with the fees. upcoming Budget 2026 If the GST rate on coaching is reduced to 5 percent or zero then JEECrores of students and their parents preparing for competitive exams like NEET, SSC and UPSC will get relief.

‘Coaching is needed for many middle class families’

CFI Vice President Keshav Aggarwal said that JEE, NEETPreparation for competitive exams like CA, CUET, CLAT, SSC and UPSC is now mandatory for many households. Therefore coaching has become a necessity for many middle class families. If the GST rate on coaching is reduced or corrected then the expenses of the families can be reduced. In such a situation, Finance Minister Nirmala Sitharaman has been requested to appropriate the Goods and Services Tax (GST) on coaching and secondary education services in the upcoming budget.