Lok Sabha Question No. 2131 (UNSTARRED), answered on 2016-07-29
Subject: Education Cess
Ministry: FINANCE
Asked by: OM BIRLA

## 2131: SHRI OM BIRLA

Will the Minister of FINANCE be pleased to state:

- (a) the total amount of education cess collected by the Government in the last three years;
- (b) the amount of education cess utilised for the required purpose during the above said period;
- (c) the total unused amount available under the education cess;
- (d) the details of the education cess distributed among the States, State-wise; and
- (e) the steps Government taken to ensure full utilisation of the education cess?

## ANSWER MINISTER OF STATE IN THE MINISTRY OF FINANCE (SANTOSH KUMAR GANGWAR)

- (a): The total amount of education cess collected by the Government under direct and indirect taxes in the last three years is as under:-

(Amount in Rs. Crore)

|                        | Total Education Cess   | Total Education Cess   |
|------------------------|------------------------|------------------------|
| Financial Year         | Direct Tax             | Indirect Tax           |
| 2013-14 (Actuals)      | 18056.71               | 15223                  |
| 2014-15 (Actuals)      | 19793.36               | 16184                  |
| 2015-16 (Provisional ) | 20921.44               | 6796                   |
| Total                  | 58771.51               | 38203                  |

(b)  to  (e)  The  Education  Cess  comprises  of  2%  Primary  Education  Cess  (PEC)  and  1%  Secondary  & Higher Education Cess (SHEC).

As  per  the  Resolution  dated  30.08.2006  on  setting  up  of  Prarambhik  Shiksha  Kosh  (PSK)  the  fund collected through the PEC is credited to PSK and is used only to meet the part of expenditure on Sarva Shiksha Abhiyan (SSA) & Mid-Day Meal (MDM) Scheme. The details of expenditure from PSK fund are as under:

| Year    |   RECEIPTS/Collection of Primary Education Cess w.r.t Prarambhik Shiksha Kosh (PSK) Fund |   Expenditure from PSK Fund |
|---------|------------------------------------------------------------------------------------------|-----------------------------|
| 2013-14 |                                                                                  22686.6 |                     19988.2 |
| 2014-15 |                                                                                  24089.8 |                     22323.2 |
| 2015-16 |                                                                                  27575   |                     19298.2 |
| Total   |                                                                                  74351.4 |                     61609.6 |

Fund collected through PEC is not allocated State-wise.

## Government of India Ministry of Finance Department of Revenue

## LOK SABHA UNSTARRED QUESTIONS NO. 2131

TO BE ANSWERED ON FRIDAY, JULY 29, 2016 SRAVANA 7, 1938 (SAKA)

## EDUCATION CESS

For 1% Higher Education Cess, since there is no dedicated fund opened in Public Account, the entire proceeds  (along  with  additional  provision  required  for  Higher  Education)  are  allocated  directly  for utilization towards the dedicated purpose of higher education.

Ministry  of  Finance  has  given  its  concurrence  for  opening  of  a  separate  fund  for  crediting  Higher Education Cess, called 'Madhyamik & Uchchatar Shiksha Kosh.

*****