2 New Cess introduced - Krishi Kalyan Cess and Infrastructure Cess

Q.  The following Cess are mentioned in the Budget 2016-17. Which of the following Cess are newly introduced?

1) Infrastructure Cess
2) Clean Environment Cess
3) Krishi Kalyan Cess

- Published on 21 Mar 16

a. 1, 2, 3
b. 2, 3
c. 1, 3
d. All of the above

ANSWER: 1, 3
 
  • Government proposes to levy an infrastructure cess, of 1% on small petrol, LPG, CNG cars, 2.5% on diesel cars of certain capacity and 4% on other higher engine capacity vehicles and SUVs.
  • The Cess will be primarily used for funding pollution reduction and improve the traffic situation in the Indian cities.
  • Krishi Kalyan Cess, @ 0.5% will be levied on all taxable services, proceeds would be exclusively used for financing initiatives for improvement of agriculture and welfare of farmers
  • Clean Environment Cess is nothing but Clean Energy Cess which was there already. It was just renamed and not newly introduced.

Post your comment / Share knowledge


Enter the code shown above:
 
(Note: If you cannot read the numbers in the above image, reload the page to generate a new one.)