Hi sir , I m running my coaching institute and there is around 60 students in my coaching institute . It's a small level work and I usually accept fees through cash and I do not give any recipt of the fees . My institute is in market area and it is not reqistered as well . I file income tax return and show the receipt of fees in income from other sources . When we admit student into academy I do not give them any reciept nor students ask for the same and there is no written commitment between me and parents . There is no staff members also i m sole teacher Now that was a introduction sir Presently due to coronna virus I am taking classes online through zoom App since April 2020 and my institute is closed Now what has happened there was one student who has scored very less his Father has called me and he has insulted me as well on phone . They are having problem with my way of teaching .. During arguments I have told them that I don't want to teach to your child . His father has told me that ur doing fraud with me u have not given me receipt of the fees payment as well . And he told me that I will make complain in police station or consumer court about ur conduct . He has paid Rs 5000 only and the same was deposited into my mother bank account. After this I am not interested in keeping his child 1. Pls confirm is it a fraud types thing if I had not given them receipt moreover my institute is also not registered . 2. Is there is any legal implications on me if i discontinue coaching to his son . 3. Which kind of complain he can file against me 4. Do I have to refund the fees in either of the case . 5. Is it illegal to expell a child from coaching .. 6. One more point if student does not clear monthly fees do I hv a right to expell them from coaching Pls confirm sir . Also advice me upon this matter Regards I
Refund his money . Obtain receipt of refund
2) there is no evidence of any fraud
3) even if he files cheating case burden of proof is upon prosecution to prove allegations beyond reasonable doubt
4) if student fail to pay you can stop coaching the student
1. For being no fraud you need to give them service If you take money and also don't give service then it's fraud
2. If you have taught him for money taken then no.
3. No complaint if you have given services otherwise fraud
4. Only if you don't have given service and taken excess money then yes.
5. Only if fees are not paid or any policy violated
6. Yes
1. This is not a fraud.
2. No, there are no legal complications.
3. At max he can complaint about harrassment. Don't worry. If he complaints than put your point of view in front of police and the matter will be resolved. It is not that serious.
4. Not really.
5. No, why illegal.
6. Yes.
Dear Sir.
1. Not giving receipt is neither a fraud, nor is it illegal. This is like a oral contract of service between you and your students/their guardians where you are giving coaching service, and they are paying you fees in return.
Registration of coaching is a separate issue and it cannot be merged with the issue raised by the father of your student.
2. If you accept the fees and then terminate, you can incur both civil liability and criminal liability. Otherwise you wont be liable. It's your choice, whom you want to teach and whom you don't.
3. He can file various kinds of complaints both civil and criminal. Filing complaints is his discretion. But he will not succeed. In all the complaints he will have to prove if any wrong is committed by you. Which I believe you have not. As long as you have engaged the classes regularly and maintained reasonable level of teaching, you'll be fine.
4. You don't have to refund the fees for the time you have taught. But if you want to stop teaching him, you are legally bound to refund the fees. For eg. If he has paid Rs. 5000 for 5 months. And you have taught 2 months, you'll have to refund Rs. 3000. Make sure to make the transfer electronically. Otherwise he may say that you have not refunded.
5. No. It is not illegal. Don't use the term expel. While communicating it to him or his father, state that you will not provide coaching to him due to misconduct and non payment of fees (if that is the case).
6. Legally speaking, if the student does not pay fees it's breach of contract. And the remedy for breach of contract ordinarily is compensation and not directly termination. That's why you must have noticed that a few institutes charge late fees for a few months. However, if a student is consistently defaulting and not paying any fees you can stop teaching him.
Hope this answer helps.
Best wishes.
If he is not satisfied with your way of teaching then he should withdraw his child. He can take you to consumer court. But it would be better to refund his amount after cutting necessary expenses.
Receipts should be given. IT authorities may question you if he complains. You can expell him if his father and he is a nuisance.
If no fee then you can.
Sir , does his father has right to complain in Income Tax authorities also . It's a small level work my Colleagues which are into coaching business does not give receipt .. Is it mandatory to issue receipt . And he has messaged me in written many times about the receipt on what's app but I hv always replied that ur payment is received there is no need to issue receipt As per income Tax giving receipt is mandatory . I know he can not file any other harrasment case but if he files complain in Income tax will the same attracts some penalty.. I have accepted payment of fees in my mother bank account. In short I want to ask if refusal of coaching to his son may land myself into other Income Tax related or any other problem .. Pls suggest Thanks
He may complain as he is a customer of yours. You cannot stop him from doing so. But if you are saying that you have a very small business then the IT department will not usually look into it.
Any income from any legal source has to be stated and receipts have to be given.
In India people generally go on without such things but you may be penalized if they issue a notice.
Let him complaint where he wants you contest. There is no limitations for false complaints you can't stop him. Just contest the complaint.
1. Not giving receipts for fees is not a crime. Fraud occurs when after receiving money you claims once again.
2. Since its private tuition class its your prerogative whom to teach and whom not to.
3. Not sure.
4. No.
5. No.
6. Yes.
1. Whether your institute is a registered unit or not, since you are accepting the money from the students and showing it as income from other sources and also not giving receipts for the amount received, is an illegal act, under income tax act for evading to pay the tax.
2. There is no legal implication for discontinuing the coaching to that student, however you may be liable to return the tuition fee collected from him for not imparting the education to that student.
3. He may give a complaint for the offences of cheating if you do not return the money collected from him.
4. That would save you from any possible legal action against you.
5. On disciplinary grounds you can take such actions.
6. If the student has defaulted in the payment of tuition fee, you may first issue a warning and then can initiate legal action or even show him the door.
His father can give a complaint in this regard to income tax department.
You cannot justify that since your colleagues do not issue receipt for the payments received, you too will not issue the same, you will be prosecuted separately for the commission of tax evasion crime.
Issuing receipts will give a proper account of the income received by you.
If he gives a complaint with the income tax department they may initiate legal action as per law.
Whether you have accepted the payment on your mother's account or your account, you are accountable for it.
Pl come for consultation today between 09 to 9.30 A M .I would definitely recommend solution for your grievances.
There are multiple law and solution attached to your question.
It needs proper discussion and opinion through review of documents and records.
You must give receipt if you are taking payment for tuition fees
2) it is better to declare your cash income from tuitions and pay taxes
3) if any complaint is made income tax authorities may issue you notice and you have to reply to notice received
4) consult a local CA
1. Not giving the receipt is not fraud or cheating by any stretch of the imagination.
2. No teacher can guarantee that student taught by her will fare well academically.
3. To discontinue coaching this student is also not illegal.
4. However, if you have not been accounting for in your IT returns the income you have generated from coaching then on a complaint made to IT department it can raid your premises and you can also be prosecuted for evasion of tax.
Dear Sir,
You are suggested not to worry much and be strict against such type of persons because no complaint can be made or proved against you in fact. Further, you are suggested to take the things forward and register the coaching and give the receipt and specify the behavior as well as terms and conditions for the students and their guardians as well. I mean no one should be aggressive and insult you in any manner.
1. Since, you are only person , who is teaching the students , hence it come under the Tuition Centre , and not mandatory required to be registered.
- Further, no institute or teacher can give a guarantee to their students for achieving a higher marks in the examination , and their duty is to teach the student fairly.
- Hence , running a sole tuition centre , you are not bound to issue a receipt for your service , and thereby it is not an offence of fraud.
2. No, but if that student has already paid you fee amount in advance , then you cannot refuse to teach him , otherwise you will have to refund the amount.
3. No offence made out , specially when he not having any proof of payment with him .
4. If you have already given your services for the received amount , then he cannot take refund legally from you.
5. Yes, it may be . There should be sufficient reasons for expelling him
6. Yes
- No , his father is not having right to complain before the I.T. department .
- Amicable settle the matter with him.
You are filing tax returns, so its ok.
NO case made out. Don`t call it institute but tuition. They never ask for receipt so not compulsory. Your acceptance it self is receipt of payment.
If this is your full time job than it has to be income from profession and business. Part time tuition income is income from other source. Filing income tax under wrong source can be rectified.
In short I want to ask if refusal of coaching to his son may land myself into other Income Tax related or any other problem .. -- NO
You need not to worry about this as neither police nor consumer court will entertain this. Yes, he can harass you if he lodge a complaint with the income tax authorities.
there is no licenses required to be obtained. But, if your coaching centre intends to be the size of an institution, you would need to get a trade license and pay tax for the revenue generated by the centre and you have to issue receipt.
cheating case not maintainable.
1. No it is not a fraud If one student of your not scored well then he must not studied well.
2. No there will be no legal issue if you discontinue the tuitions of that student.
3. He can file case in consumer forum but it will not benefit him much
4. No need to refund the fees but you can refund the fees to avoid any conflict.
5. No
6. Yes but you should understand the genuine reasons of student.
Don't worry he can't do any action against you
