Govt to impose 0.5% Swachh Bharat cess on services from Nov 15


New Delhi, Nov 6 (PTI) : All services, including air travel, telephony, eating out and banking will become expensive from November 15 as the government today decided to impose a 0.5 per cent cess on all taxable services to fund the Swachh Bharat programme.

The additional cess would be over and above the 14 per cent Service Tax rate which is already being levied and may yield the government an additional about Rs 400 crore during the remainder of the current fiscal.

"The government has decided to impose, with effect from November 15, 2015, a Swachh Bharat Cess at the rate of 0.5 per cent on all services, which are presently liable to service tax," a Finance Ministry statement said.

Finance Minister Arun Jaitley had in Budget 2015-16 proposed to levy a Swachh Bharat cess of up to 2 per cent "on all or certain services, if need arises".

The decision to impose 0.5 per cent cess will translate into a tax of 50 paise only on every Rs 100 worth of taxable services.

"Swachh Bharat cess is not another tax but a step towards involving each and every citizen in making contribution to Swachh Bharat. The proceeds from this cess will be exclusively used for Swachh Bharat initiatives," the statement added.

Swachh Bharat is among the major initiatives of the Modi government, which has embarked on a major drive to ensure cleanliness across the country.

In his Budget speech on February 28, Jaitley had said: "This cess will be effective from a date to be notified. Resources generated from this cess will be utilised for financing and promoting initiatives towards Swachh Bharat".

The government had in Budget 2015-16 estimated to collect over Rs 2.09 lakh crore from service tax. The Rs 400 crore collection from the cess would be over and above that.

  

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Comment on this article

  • GS, Orissa

    Mon, Nov 16 2015

    What a bulls..it. We are already paying 14% now another 0.5%. Really acche din is going 2 come 4 politicians not for common man.what a shame BJP.

    DisAgree [1] Agree Reply Report Abuse

  • Juliet mascarenhas, Bejai Mangalore

    Sat, Nov 07 2015

    Women rape to citizens rape.
    Cess badao Swach manao.
    Baktho, rako apne joothe apne sirr per.

    DisAgree [2] Agree [4] Reply Report Abuse

  • Ram Shetty, Mangalore/Mumbai

    Sat, Nov 07 2015

    Heyyyyyy Modi.. this is why our middle class and poor get's poor and poor day by day, not because they keep their gold safe in vault or home. Maybe soon we will come to know Modi as planned to tax on all our gold if they follow your gold scheme. Anything is possible from this spineless government.

    DisAgree [2] Agree [4] Reply Report Abuse

  • John R Lobo, Kaikamba

    Sat, Nov 07 2015

    Indian kicked out husk eaters and elected rice eaters ....

    DisAgree [1] Agree [6] Reply Report Abuse

  • Af,, Mangaluru

    Sat, Nov 07 2015

    This money will be well utilised for election campaign for roaming around india in flights and helicopter

    DisAgree [2] Agree [10] Reply Report Abuse

  • krish, Dubai

    Sat, Nov 07 2015

    Dear AF,
    You mean "14 per cent Service Tax" also used for "election campaign for roaming around india in flights and helicopter"????? y there is no voice against govt taxes????
    did you raise voice against crores of Rs. spending to Politiciansa house renovation?
    Lakhs of Rs using for Politicians Pillow, shawl and blanket???
    Do you think since 1947 till 2014 election campaign was doing in their own money????
    0-13.5% everything ok to you
    0.5% is became a Burden for every one???
    we know how to make "dirty Bharatj" but we oppose "SWATCH BHARATH"

    DisAgree [6] Agree [2] Reply Report Abuse

  • Ram Shetty, Mangalore/Mumbai

    Sat, Nov 07 2015

    HEY krish, Dubai do you pay tax? damn no. But we do pay for everything, even to keep our country clean.

    DisAgree [1] Agree [7] Reply Report Abuse

  • R Bhandarkar, Mangaluru

    Sat, Nov 07 2015

    This is ' Rot Tax' for all its worth!

    DisAgree [1] Agree [13] Reply Report Abuse

  • melwyn, mumbai

    Sat, Nov 07 2015

    jossey not looters its political looters

    DisAgree [1] Agree [10] Reply Report Abuse

  • tom Cat, Mangalore

    Sat, Nov 07 2015

    next tax in line = PM camara tax = .02 percent to buy new cameras to photograph chaiwala

    DisAgree [2] Agree [12] Reply Report Abuse

  • Vijay m, Mangaluru

    Sat, Nov 07 2015

    Woe to you Hypocrite politicians in the name of development you harass the common man and enjoy . Keep that tour money for clean India.

    DisAgree [1] Agree [11] Reply Report Abuse

  • Hussain, Abudhabi

    Sat, Nov 07 2015

    Modi's bumper offer..

    Nepal - $ 1 Bn donation
    Mongolia- $ 1 Bn credit
    Africa- $ 10 Bn credit
    Bihar- Rs. 1.25 lakh Crore

    Now impose 0.5% tax to recover this..
    Fekunomics at its best

    DisAgree [2] Agree [19] Reply Report Abuse

  • Jossey Saldanha, Mumbai

    Sat, Nov 07 2015

    India is a land of LOOTERS ...

    DisAgree [2] Agree [15] Reply Report Abuse

  • Valerian D'souza, Udupi / Mumbai

    Sat, Nov 07 2015

    Another deceiving tax.
    While increasing ST from 12.36% to 14% Govt had said that, rate is to be rounded off.
    Now fragmented with this 0.50% SBT.
    Hope Swatch Bharat is not swatch of all the Govt treasury!
    God know where this money collected from people, us going!
    In Mumbai whopping 500 crores was earmarked for unnecessary repairs of good roads.
    So Corruption crusader Anna Hazare, where is he? not even raising black money issue.

    DisAgree Agree [20] Reply Report Abuse

  • krish, Dubai

    Sat, Nov 07 2015

    Dear Valerian D'souza, Udupi / Mumbai,
    when govt increase the reservation quota do you / any one question in same way???
    thab tho maza aatha hai na????

    DisAgree [24] Agree [1] Reply Report Abuse

  • Valerian D'souza, Udupi / Mumbai

    Sat, Nov 07 2015

    Dear Krish,
    Don't write just for the sake of it. Check who contributed for education and health care!
    I have always criticized reservation.
    Refer back my writings.
    If you are genuinely concerned, oppose all reservations.
    Ask your Govt through this forum to cancel caste based reservations and introduce only economic criteria based reservation.

    DisAgree [1] Agree [25] Reply Report Abuse

  • krish, Dubai

    Sat, Nov 07 2015

    can you please tell me which is "MY" govt and is not related to you.

    DisAgree [12] Agree [1] Report Abuse

  • Juliet mascarenhas, Bejai Mangalore

    Sat, Nov 07 2015

    Krishi,
    Disagree dekhlo aur maza lelo.
    That is your Govt

    DisAgree [1] Agree [7] Reply Report Abuse

  • Rudolf, Mangalore/Mumbai

    Sat, Nov 07 2015

    Instead of taxing the 'overtaxed' and 'harried' common man, why are they not bringing out the hidden wealth of corrupt bureaucrats, black marketers, white collar thugs, dubious bankers, money lenders, real estate mafia, and middlemen who exploit the gullible!!

    DisAgree Agree [11] Reply Report Abuse

  • rolwin dsouza, honnavar

    Sat, Nov 07 2015

    The tax has been imposed to cover the expenses of PM traveling abroad. Minimum two Air India flights reserved for him. We general public has to bear the expenses, hw many visits PM has to foreign countries after becoming PM. there is no opposition to raise the question coz all are behind "Gandha Bharath" and not swachh Bharath. Pls Publish and let people know abt the present central govt.

    DisAgree [1] Agree [13] Reply Report Abuse

  • Fredrick, Shirtahdy/Doha

    Sat, Nov 07 2015

    Modi using our own money to wash our butts. Superior way to loot public in a way to make chaddi organisation super rich. Swachch Bharat will remain a jumla, ordinary citizens, NGO's schools and similar outfits only will keep Bharat swachch. Not this jhuta party. 600 crores released for to clean Ganga, where is the developments, what they did so far.

    DisAgree [1] Agree [11] Reply Report Abuse

  • Westor Dsilva, Kallianpur

    Sat, Nov 07 2015

    Yay !!! coming soon... Swacch Bharat funds scam.
    Our hard earned money will go unaccounted.

    DisAgree [1] Agree [9] Reply Report Abuse

  • GCP., Muscat

    Sat, Nov 07 2015

    Swachh Gareeb Aadmi.

    DisAgree [1] Agree [9] Reply Report Abuse

  • NM, Mangalore

    Fri, Nov 06 2015

    So this is the reason for implementing Swachh Bharat in India... to impose new tax!
    ~SHAME~

    DisAgree [1] Agree [12] Reply Report Abuse

  • Jossey Saldanha, Mumbai

    Fri, Nov 06 2015

    What ever we have achieved till date for Swachh Bharat Abhiyan is only because of CAMERA ...

    DisAgree [1] Agree [12] Reply Report Abuse

  • DON, Udupi

    Fri, Nov 06 2015

    One more tax in the name of swach Bharath.
    Its like taxing the salt that Gandhi fought for

    DisAgree [1] Agree [8] Reply Report Abuse

  • Joseph F. Gonsalves, Bannur, Puttur / Mangalore

    Fri, Nov 06 2015

    Dear Chaaiwaala P.M., to A.M., where is my 15 lakhs as promised by you.

    First kindly deposit 15 Lakhs to my account then make your mess in the cess or make less from 15 Lakhs.

    ====================COW GOVERNMENT'S CATTLE CLASS GOVERNANCE.==================== 

    DisAgree [1] Agree [9] Reply Report Abuse

  • ruchir agarwal, mangalore

    Fri, Nov 06 2015

    hA.. MOst of the swatch bharath initiative is being done by varios schools and NGOs

    DisAgree [2] Agree [35] Reply Report Abuse

  • anonymous,

    Fri, Nov 06 2015

    "Swachh Bharat cess is not another tax but a step towards involving each and every citizen in making contribution to Swachh Bharat" golden statement from jumla men.

    Shouldn't be voluntary optional then.. Any Bhakths enlighten on this?

    DisAgree [3] Agree [9] Reply Report Abuse

  • Santosh,K, Mangalore

    Fri, Nov 06 2015

    Before May 2014 12.5% vat for all items, then became 14%, Now 14.5%.Bure din is better than ache din.

    DisAgree [1] Agree [13] Reply Report Abuse

  • Langoolacharya., Belman/Washington,DC.

    Fri, Nov 06 2015

    Modi,

    Why every service industry should pay this?

    Only those who pollute such as Paan,cigarettes, Beedi's, plastic bag manufacturers, street side vendors should be made to pay this tax..

    This Joot Lee is a lawyer...not economist...unfit to be Finance minister...make him law minister..

    Anybody wearing black coat thinks they are Vidhwaans...ouuuuch...

    ...JH...

    DisAgree [1] Agree [15] Reply Report Abuse

  • KRPrabhu, Kudla/Bluru

    Fri, Nov 06 2015

    This is not 'Swatch Bharat' cess but 'Swatch Common man's pocket' cess.....

    DisAgree [1] Agree [12] Reply Report Abuse

  • Jossey Saldanha, Mumbai

    Fri, Nov 06 2015

    Who pays for his Air Travel ...

    DisAgree [1] Agree [13] Reply Report Abuse

  • krish, Dubai

    Sat, Nov 07 2015

    "JO RG KA 56 DAYS MASSAGE TRIP KELIYE PAY KIYA WAHEE DEVELOPMENT KELIYE BHI PAY KAREGA"

    DisAgree [2] Agree [2] Reply Report Abuse

  • KRPrabhu, Kudla/Bluru

    Fri, Nov 06 2015

    Another blow for common man who voted Modiji to become PM.0.50 % additional cess for swatcha Bharath abhiyan completes the hike in service tax to 2% which is presently 14% Common man already reeling under the effect of price rise and this .5% hike in service tax will be like 'gaayada mele bare'......disgusting indeed.
    The most luckiest of Modi govt are big corporates and rich people who got bumper benefit by reduction of corporate tax by 5%.We can understand the compulsion of Modi to repay the borrowed debts from Corporates for election expenses,but what was the necessity of repaying it so urgently and quickly?Common man's,retired persons,senior citizens curse will be on this govt indeed.....

    DisAgree [2] Agree [14] Reply Report Abuse

  • alfria, mumbai

    Fri, Nov 06 2015

    Hum Ko tho Mil Ke Loot Liya Feku Sarkar Ne. Bade Bade Bashan Se Jhoote Vado SE. Ache Din AA Gaye. Diwali gift to the people of India, Modi needs money for foreign tours.

    DisAgree Agree [10] Reply Report Abuse

  • Peter, Bankok

    Fri, Nov 06 2015

    Very good. Rob Peter to pay Paul.Who shall be excluded..! Only those sitting on the chair and doing nothing...!

    DisAgree Agree [7] Reply Report Abuse

  • Mr. india, manglore/ksa

    Fri, Nov 06 2015

    !!!!!ache din............. Ayenge!!!!!

    DisAgree Agree [7] Reply Report Abuse

  • Ahmed, Mangalore/UAE

    Fri, Nov 06 2015

    Very good move.
    Acche din coming soon.

    DisAgree Agree [9] Reply Report Abuse

  • Jafer, Ullal

    Fri, Nov 06 2015

    On Swachh Bharat nothing happening on ground only Modi busy with taking photoshoot.More cess means more TV ad.Anyway Modi is himself a beneficiary of media hype of fake Gujrat model have to give back something to media through Ad.

    DisAgree [2] Agree [43] Reply Report Abuse

  • John, Malpe

    Fri, Nov 06 2015

    Fekhu finally proved that he is Feku really ache din a gaye...From where people will pay only expenses gone up not the salary.. Common people wake up.. Rich getting richer and poor getting pooor.. I am Indian and i pay tax like others..

    DisAgree Agree [10] Reply Report Abuse

  • Dev, Mangalore

    Fri, Nov 06 2015

    Several thousand crores were spent on this Photo OP programs of one day, & now one more cess on Tax, certainly this govt., has lost its way & making common people's struggle to survive more difficult.
    This loser Finance Minister needs to be sent home to stop these gimmicks to pocket more money.
    Swach Bharath can be achieved if every citizen keeps his home & place of work along with the public places he uses clean & there is no need to Tax & Tax more.
    Provide Dust bins & replace them with Digital sensors to indicate they are full at all public places, then the entire country will be clean.

    DisAgree Agree [11] Reply Report Abuse

  • Lydia Lobo, Kadri

    Fri, Nov 06 2015

    Common man should pay cess to do the clean up ? What happened to the crores set aside from the budget ? Who swallowed the sum up ?

    Ask those who pollute, to clean up after them ! Why some one who didn't dirty, should pay for somebody else's soiling ?

    DisAgree [1] Agree [14] Reply Report Abuse


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Title: Govt to impose 0.5% Swachh Bharat cess on services from Nov 15



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