No GST Exemption for School Bus Services Paid Directly By Parents: AAAR

The AAAR (Appellate Authority for Advance Ruling) has ruled "no GST exemption for school bus services paid directly by parents." This decision clarifies the taxability of transport services provided by schools. While certain educational services are exempt from GST, the AAAR has determined that when parents directly pay for school bus services, it falls outside the scope of the exemption. This implies that such transport services would be subject to GST, impacting the cost structure for schools and parents.