Everything You Need To Know About Swachh Bharat Tax On Services From November 15

Al Arafat Sherfuddeen

November 7th, 2015 / 1:43 PM

Image Source: thehindubusinessline

What is cess?
A tax on tax

The news
The government has announced a new “cess” on service tax i.e., a 50 paisa contribution for every 100 rupees spent. Hence your movie tickets and air travel among many others will marginally increase with this cess ( a tax on tax).

Objective

To raise funds for Swachh Bharat. The implementation of cess makes many millions of Indian’s to contribute for a clean India. The funds raised will be used to build toilets to ensure open defecation is a thing of the past. It is worthwhile noting that half of Indian’s do not have access to proper toilet facility and hence defecate in open which has resulted in many communicable diseases with huge health consequences and in turn burdening the government’s health budget.

Why the cess is being welcomed?

Indian’s all uniformly share the aspirations of a clean India in the lines of many western nations. With many Indian’s travelling abroad and visiting other nations, the aspiration for a clean India has never been higher. Hence the chance for every citizen to contribute for clean India by the Swachh Cess is widely welcomed by many.

What do the critics say?

1.) The already existing funds have been spent poorly. To have spent 100 crores for the ad campaign for one scheme is close to being unprecedented.

2.) States have been burdened with more expenditure (twice than the central government) for Swachh Bharat without subsequent increase of revenue through taxes.

3.) Rural Sanitation – Despite the noble objectives of Swachh Bharat, the budget for rural sanitation programs have been has been reduced to Rs 3,500 crores. It is worthwhile to note that, the problem of open defecation is more acute in rural household’s and hence the budgetary cuts go against the very notion of swacch Bharat.

TLI hopes the raising of funds through cess will enhance allocation to states and corporations who are closer to the ground level governance. We also hope the coming budgetary allocation for sanitation schemes will improve and instead of making investments in ad campaign, emphasis on ground work is done. Rest assured the TLI community stands by our Prime Minister in its commitment in bringing about a clean and better India.


Contributors

Edited by :

Share your thoughts..

Related Stories

Information Tax Rebate

Important Information You Need To Know About Tax Rebate For Taxpayers Earning Upto 5 Lakh

ltcg

Pay LTGC Tax On Long-Term Capital Assets From April 1; All You Need To Know

Everything You Need To Know About Kejriwal’s Doorstep Delivery Scheme Recently Approved By L-G

Darjeeling Protests

The Protest For A Separate State Of Gorkhaland: Everything You Need To Know

Cattle Slaughter

Everything You Need To Know About Centre’s All-India Ban On Cattle Slaughter

All You Need To Know About The Goods And Services Tax (GST)

Latest on The Logical Indian

Get Inspired

#AntiHateChallenge: Group Of Pakistani Citizens Hold Placard Condemning Pulwama Attack & To Call For Peace

Get Inspired

Mumbai: Miscreants Threw Chilli Powder At The Train Driver, Even Then He Drove For 18-Km To Avoid Delay

News

Anuj Sharma Appointed As New Kolkata Police Commissioner; Rajeev Kumar Transferred To CID

News

Kolkata: Mamata Banerjee Inaugurates Women Driven ‘Pink Cabs’

News

Aggressive Cow Protection Policies & Communal Rhetoric Hurt Farmers & Herders: Report

News

Anil Ambani To Face 3-Month Jail If He Fails To Pay Rs 453 Crore In 4 Weeks To Ericsson

x

Stories that deserve attention, delivered to your inbox!

Handpicked, newsworthy stories which deserve the attention of a rational generation.