Business Standard

GST hurting workers, companies interested in skill training: Experts

18 per cent GST levied on enrolment of workers sponsored by their employers or individuals aspiring for jobs in industries.

Experts say the govt also has to demonstrate a greater understanding of issues that impact the changing nature of employment, the needs of the gig economy in India, use of technology on jobs, among others
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18 per cent GST discouraging workers seeking to take up training.

Dilip Kumar Jha Mumbai
A goods and services tax (GST) levy on services is being applied on workers enrolling for the government's skill development programme, discouraging them and industries alike, said experts on Thursday.

The 18 per cent GST is applicable on enrolment of workers sponsored by their employers or individuals aspiring for jobs in industries. 

The Finance Ministry often, sponsors the training fees, but many companies use their corporate social responsibility (CSR) funds to improve their workers' skills. Companies fill the 18 per cent GST pinch then.

“Students pay for themselves or by sponsors find 18 per cent GST on training fees back-breaking

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