In Advance Ruling No. KAR ADRG 21/2023 -AAR- AAR (Karnataka) grants GST exemption to Interviewbit Software Services Private Limited under 'Market led Fee-based Services Scheme' in participation with National Skill Development Corporation
Members M.P. Ravi Prasad & Kiran Reddy [13-07-2023]

Read Order: In Re: Interviewbit Software Services Private Limited

Chahat Varma

New Delhi, August 1, 2023: The Karnataka bench of the Authority for Advance Rulings (AAR) has ruled that the services provided by Interviewbit Software Services Private Limited (applicant), operating the platform 'Scaler' for transformative upskilling of working tech professionals, under the ‘Market led Fee-based Services Scheme’ in participation with the National Skill Development Corporation (NSDC), were eligible for exemption from GST under Entry 69 of Notification No. 12/2017-Central Tax (Rate), dated 28.06.2017.

In the said matter, the applicant, had sought an advance ruling to determine the applicable GST on the services provided under the 'Market led Fee-based Services Scheme' in collaboration with the NSDC, a non-profit company. The main question was whether they were eligible for exemption under Entry 69 of Notification No. 12/2017-Central Tax (Rate), dated 28.06.2017.

The AAR observed that for the applicant to claim exemption under Entry 69, they must meet two conditions: (1) they should be an approved training partner of NSDC, and (2) the services provided should be related to any other scheme implemented by NSDC.

The AAR noted that the applicant fulfilled both conditions required for claiming exemption under Entry 69 of Notification No.12/2017-Central Tax (Rate), dated 28.06.2017. They had submitted evidence that they were an approved training partner of the NSDC, by providing a certificate from NSDC. Additionally, the applicant had entered into an agreement with NSDC to execute the ‘Market led Fee-based Services’ scheme, which was implemented by NSDC.

Therefore, the AAR concluded that the applicable GST on the services rendered by the applicant was nil, and they were eligible for exemption under the mentioned entry.