Legal analysis: The income from providing educational services exempt from value-added tax refers to the income from providing academic education services to registered students included in the prescribed enrollment plan, including tuition fees, accommodation fees, textbook fees, homework fees, examination registration fees, meals provided by school canteens and other income. Other income, including sponsorship fees and school selection fees charged by schools in various names, does not belong to the scope of exemption from VAT. In addition, the services provided by school students are also exempt from VAT.

Legal basis: Provisions on the Transition Policy of Changing Business Tax to Value-added Tax in People's Republic of China (PRC) Article 1 Educational services provided by schools engaged in academic education are exempt from value-added tax. Schools engaged in academic education refer to: (1) ordinary schools. (2) All kinds of schools established with the approval of the people's government at or above the prefecture (city) level or the education administrative department of the government at the same level and recognized by the state. (3) Technical schools and senior technical schools approved by the administrative departments of human resources and social security at or above the provincial level. (4) Technician College approved by the provincial people's government.