Great Learning urges GST rationalisation on digital learning, calls for wider access to low-cost education loans

Edtech firm Great Learning has called for a rationalisation of Goods and Services Tax (GST) on digital learning services and improved access to affordable education loans, saying these measures are essential to significantly accelerate upskilling across India.

Under the current GST framework, core educational services offered by formal institutions are exempt from tax. However, many online courses, coaching programmes and standalone digital learning offerings continue to attract an 18 per cent GST. According to the company, this increases costs for both learners and education providers and can slow adoption, particularly in price-sensitive, skills-focused learning segments that fall outside formal curricula.

Great Learning acknowledged recent GST rationalisation steps, including making certain education inputs such as stationery and learning materials tax-free, saying these measures have helped ease some pressure. However, it noted that the situation on the ground remains challenging for a large section of India’s youth. For many learners, stepping away from work to pursue long-term formal education is not a viable option. As a result, short-term online courses are often the only practical way to acquire new skills and stay relevant in a rapidly changing job market.

The company said the continued 18 per cent GST on standalone digital learning services warrants a more balanced and calibrated review, with access and affordability kept at the centre of policy decisions.

Alongside tax reforms, Great Learning stressed the need for easier access to affordable learner financing. Lower-interest education loans for upskilling programmes, it said, could make a meaningful difference in participation and outcomes.

Commenting on the issue, Arjun Nair, Co-founder of Great Learning, said that when learning is both accessible and affordable, digital education can scale in a sustainable, inclusive and truly impactful way.

By Business Bureau