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Priya Motiani

IWB Blogger

Do You Cross Check Your Bills? You Might Want To Do That Now!

  • IWB Post
  •  November 17, 2015


Have you heard about the Swachh Bharat cess that has been recently implemented by the Government of India? If not, then pay attention or you might end up paying extra tax.  

I’ve got your wide-eyed attention now, haven’t I? Good. Read on.

Swachh Bharat cess is the most recent tax regulation implemented by the Govt. of India in order to raise funds for Swachh Bharat; these will be allocated towards creation of toilets across the country to curb open defecation.

This cess has come to effect from November 15 and can be seen in the form of the 0.5% on all taxable services. In the air-conditioned eateries though, the cess will be charged at 0.5% of 40% of the billed amount. It’s okay if you’re not good at math. I am.

0.5% of 40% is 0.2 % which then implies a 5.8% service tax rate on the amount.

But because this new system is in its initial stages, and because billing machines can be as errant as humans sometimes, it is important to recheck the bill receipts which are otherwise skillfully tossed into the trash can.

5.8%. Let’s cram that figure, ladies.

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