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Is it legal for training institutions to charge 20% penalty for tuition refund?
Legal analysis: this situation belongs to your unilateral breach of contract, and it is reasonable for the other party to demand 20% liquidated damages.

Legal basis: Education Law of the People's Republic of China

Article 4 Education is the foundation of socialist modernization, and the state guarantees the priority of education. The whole society should care about and support the development of education. The whole society should respect teachers.

Article 8 Educational activities must conform to the public interests of the state and society, and the state shall separate education from religion. No organization or individual may use religion to carry out activities that hinder the national education system.

Fourteenth the State Council and local people's governments at all levels shall lead and manage the education work according to the principles of hierarchical management and division of responsibilities. Under the leadership of the State Council, secondary education and education below secondary level are managed by local people's governments. Higher education is administered by the State Council and the people's governments of provinces, autonomous regions and municipalities directly under the Central Government.