GST will raise private education cost by 3%, even at lowest tax slab of 5%

Demand for private schooling is not just an elite preference but shows trust in affordable schools

Private education could cost 2-3% more if taxed at the lowest slab of 5% under the Goods and Services Tax (GST), according to our analysis of the bill’s provisions.

The GST bill passed by the Lok Sabha (lower house of Parliament) on March 29, 2017 carries a provision that says certain services provided by the government or local authority would not be liable to tax.

Financial experts believe that the provision was inserted to exempt education and health services, in addition to a list