1. Payment Terms

1.1. Scholastia agrees to pay the Educator a remuneration equivalent to 25% of the net course fee (net course fee refers to the fee left after excluding GST, payment gateway charges and/or any discount rates) per sale, after adjusting for any applicable deductions, including taxes. For example, if a course is listed for INR 3000 on our website, excluding applicable 18% GST and 2.95% payment gateway charges and/or additional involved expenses, the educator will be entitled to receive INR 616.84 per sale made on that particular course.

1.2. Under certain circumstances, to streamline internal calculations, we may sometimes process a payout percentage that might be slightly higher (but never lower) than the standard revenue share percentage (25%) as per our agreement. Should this occur, it would be a one-off adjustment facilitated solely for operational efficiency. In due course, your payouts would strictly revert to the agreed 25% of the actual course fee. The additional percentage should not be construed as a revision or a permanent increase to your revenue share.

1.3. Payments shall be processed on a monthly basis, subject to completion of the agreed services and verification of course sales.

2. Tax Deducted at Source (TDS)

2.1. Income earned from selling online courses is categorized as Profits and Gains from Business or Profession (PGBP) under the Income Tax Act. The applicable TDS section for educators selling courses on an online educational website and earning a revenue share would be Section 194O. This section mandates TDS deduction on payments made to e-commerce participants, which includes individuals selling goods or services through an e-commerce platform.

2.2. As an e-commerce operator, Scholastia is required to deduct TDS at the standard rate of 1% of the total revenue earned by a resident Individual/HUF at the time of crediting the amount to the educator’s account or at the time of payment, whichever is earlier.

2.3. If the Educator does not provide valid Permanent Account Number (PAN) details, a higher TDS rate of 5% will be applied.

2.4. Scholastia is required to deduct TDS only when the Educator’s total revenue share exceeds INR 5,00,000 in a Financial Year. Once the threshold of INR 5,00,000 is crossed, TDS will be deducted from the month in which the net revenue share exceeds this amount, and for all subsequent payouts during the same financial year.

2.5. To facilitate TDS compliance, the Educator is required to provide his/her PAN to Scholastia before the commencement of payments.

2.6. Scholastia will issue a TDS certificate (Form 16A) to the Educator on a quarterly basis, in accordance with the timelines prescribed by the Income Tax Department, so that the Educator can use it while filing their tax returns.

3. GST Registration and Invoicing

3.1. If the educator’s total income exceeds INR 20 lakh (INR 10 lakh in some states*), they may also need to charge Scholastia GST on their services, and Scholastia may have to account for that while processing payouts. In such a case, the Educator will be required to invoice Scholastia an additional 18% GST on the total revenue share for providing educational services.

3.2. The Educator must submit a valid GST-compliant invoice for each payout to claim the GST amount from Scholastia.

4. Payment Processing and Bank Details

4.1. The Educator shall provide accurate and up-to-date bank account details or a valid UPI ID registered in India for the purpose of payment transfers. The bank account or UPI ID must be active and capable of receiving payments in INR (Indian Rupees).

4.2. Payouts of every month to the Educator will be processed within the 5th day of the following month, based on the course sales and after applicable deductions.

4.3. Scholastia shall not be held responsible for any delay or failure in payments due to incorrect information provided by the Educator or issues related to the Educator’s bank account or UPI ID.

5. Nominee Designation for Posthumous Revenue Payments

5.1. The Educator may designate a Nominee to receive any and all revenue payments due under this Agreement in the event of the Educator’s death. The Nominee shall be identified by full legal name, relationship to the Educator, and current contact information, as provided in writing to Scholastia at the time of agreement execution or any time thereafter during the term of this Agreement. Upon receipt of legally valid proof of the Educator’s death (including but not limited to a certified copy of a death certificate), Scholastia shall, within a reasonable period, commence revenue payments to the designated Nominee, provided the Nominee’s identity and contact details have been properly verified. All revenue payments shall be made in accordance with the original terms of this Agreement, unless otherwise agreed in writing by Scholastia and the Nominee. The Educator retains the right to update or revoke the Nominee designation at any time by providing written notice to Scholastia. In the absence of a validly designated and verifiable Nominee or upon the death of designated Nominee, well after the Educator’s, payments will cease to exist. Scholastia shall not be liable for any disputes arising between the Educator’s heirs, successors, or other third parties regarding revenue entitlements, and its sole obligation shall be to fulfill payments in accordance with this clause upon verification of the Educator’s death and the Nominee’s identity.

5.2. If the designated Nominee passes away before the Educator’s death and no alternate Nominee has been designated in his/her place before the passing of the Educator, all future royalty payments shall be discontinued, and Scholastia shall have no further payment obligations under this clause.

5.3. Upon the Nominee’s death, long after the Educator’s, royalties will not automatically transfer to the Nominee’s heirs and the revenue payments shall cease to exist.

5.4. To nominate a designated individual to receive any outstanding or future revenue payments in the event of the Educator’s death, the Educator must complete and submit the Nominee Designation Form separately. Submission of this form is optional but strongly recommended. If, upon the Educator’s death, a designated Nominee is unavailable, payments will cease to exist. It is the Educator’s responsibility to ensure that the information provided is accurate and kept up to date.

6. Compliance with Laws

6.1. The Educator agrees to comply with all applicable tax laws and regulations, including reporting of income earned through Scholastia.

6.2. Scholastia shall comply with its obligations to deduct and deposit TDS with the relevant government authorities.

7. Termination of Agreement

7.1. Either party may terminate this agreement by providing 60 days of prior written notice.

7.2. Upon termination, any pending payments – after the deduction of applicable taxes – will be settled in accordance with the agreed terms and conditions.

8. Entire Agreement

8.1. This document constitutes the entire agreement between Scholastia and the Educator regarding payment terms, remuneration, TDS deduction, and posthumous revenue payouts, and supersedes all prior discussions, understandings, or agreements (if any).

8.2. For general agreements between Scholastia and the Educator, the Educator Terms and Conditions, as updated from time to time, shall apply. These terms govern the rights, responsibilities, and obligations of both parties and are subject to periodic revisions at Scholastia’s discretion.

9. Dispute Resolution

Any disputes arising out of or related to this agreement shall be resolved amicably. If a resolution is not possible, the dispute shall be referred to arbitration in accordance with the Arbitration and Conciliation Act, 1996.

10. Governing Law

This agreement shall be governed by and construed in accordance with the laws of India.