Due to the unanticipated, forced migration of classroom activities to a fully remote format because of the coronavirus pandemic, there is a critical need for progress in the online education system. Not only that, but online education is the way of the future, and its infrastructure must be enhanced for teaching and learning to be effective. Engaging the students and enhancing their focus is one of the major concerns in the current video calling-based system. In this research, we propose a VR and AR-based virtual classroom environment system called "Edu VR" which encourages students to learn with a high level of involvement and attentiveness. We have divided the system into 2 distinct categories. one amongst which incorporates the virtual reality classroom, wherever the students can have a similar feel of actual school with peer-to-peer-based interactions and student-to-teacher interactions with Unity3D. We are able to conjointly deploy AR models with Vuforia, which permits the teachers to take classes more efficiently with student’s engagement. The other category involves the AI-based classroom assessment system, which enables teachers to produce assessments, which in turn are proctored by Artificial Intelligence. The results are automatically sent to the student within a short period, with the assistance of text similarity analysis for evaluating the answer scripts with Machine learning. This approach solves the drawbacks of video call-based systems with enhanced focus and engagement.