13 October 2008
MY QUERY IS ABOUT 1% HIGHER SECONDRY EDUCATION CESS.
ON WHICH AMOUNT IT APPLIES ( VIEW THE EXAMPLE AS BELOW)
A CONTRACT PAYMENT WHERE I HAVE PAID RS.100000 @ 2.266 %
AT ONE HAND THE AMOUNT WILL WORK OUT AS RS.22660 RS. 10,00,000.00 X 2.266% = 22660
BUT ON OTHER HAND IT WILL WORK OUT 22600 TAX =10,00,000.00 X 2 % = RS. 20,000.00 SURCHARGE = 10% OF 20,000/- = RS.2000.00 E. CESS = 2% OF RS.20,000/- = RS. 400.00 HSE CESS= 1% OF RS.20,000/- = RS. 200.00
TOTAL WORKS OUT = 22600
WHICH AMOUNT IS CORRECT AS PER LAW PLEASE EXPLAIN?
CAclubindia
