GST Exemption Not Available on University Affiliation Fees

Case Details: Bharathidasan University vs. Joint Commissioner of GST (ST-Intelligence) [2026] 183 taxmann.com 565 (Madras)

Judiciary and Counsel Details

Dr. G. Jayachandran & K.K. Ramakrishnan, JJ.
V.R. Shanmuganathan for the Petitioner.
R.Sureshkumar, Additional Government Pleader for the Respondent.

Facts of the Case

The petitioner filed a writ petition challenging the applicability of GST on affiliation fees received from affiliated colleges. It was submitted that the fees were exempt under Notification No. 12/2017, as services relating to student admission or conduct of examinations. The respondents, including the Joint Commissioner of GST contended that affiliation fees were not services provided to students for admission or for conducting examinations, and accordingly issued intimations of liability with interest and penalty. The petitioner relied on its claim that affiliation was essential for colleges to admit students. The matter was accordingly placed before the High Court.

High Court Held

The High Court held that the affiliation fees collected by the university did not constitute services relating to the admission of students or the conduct of examinations, and were therefore not eligible for exemption under Notification No. 12/2017, dated 28-6-2017. The Court observed that while affiliation was a prerequisite for colleges to admit students, it fell outside the definition of services directly relating to admission or examination conduct, which formed the limited scope of the exemption. Relying on Section 11, read with Section 9, of the CGST Act and Tamil Nadu GST Act. The Court dismissed the petition, and upheld the university’s liability to pay GST on affiliation fees.

List of Cases Reviewed

Pondicherry University v. Joint Commissioner of GST, Central Excise [2024] 158 taxmann.com 390 (Madras) (Para 9)

List of Cases Referred to

Manonmaniam Sundaranar University v. Union of India [W.P. (MD) No.19587 of 2021, dated 10-6-2024] (para 3)
Madurai Kamaraj University v. Joint Commissioner of GST & Central Excise [2021] 130 taxmann.com 165/54 GSTL 385 (Madras) (para 3)
Bharathidasan University v. Joint Commissioner of GST and Central Excise [W.P. (MD) No. 8353 of 2019, dated 21-9-2021] (para 3)
Pondicherry University v. Joint Commissioner of GST, Central Excise [2024] 158 taxmann.com 390 (Madras) (para 4.2)
Sree Ramu College of Arts and Science v. Authority for clarification and Advance Ruling [2024] 158 taxmann.com 417/83 GSTL 411 (Madras) (para 4.2)
Goa University v. Joint Commissioner of Central GST [2025] 173 taxmann.com 562 (Bombay)/[2025] 96 GSTL 513 (Bombay) (para 6)
Goa University v. Joint Commissioner of Central GST [2025] 173 taxmann.com 562/96 GSTL 513 (Bombay) (para 6)
University in Care College of Nursing v. Kaloji Narayana Rao University [2023] 156 taxmann.com 450/[2024] 86 GSTL 244 (Telangana) (para 7).