Eating out, telephony and travel will become expensive from November 15th with the government imposing a 0.5 per cent Swachh Bharat cess on taxable services which is expected to yield about Rs. 3,800 crore to the exchequer in the remaining months of the fiscal year. According to Revenue Secretary Hasmukh Adhia, the government expects to collect around Rs. 10,000 crore from Swachh Barat cess for full year.

How does it impact the People?

Under revised charges, a PAN card, issued by the Income Tax department to an individual or entity to keep a track on all their financial activities, within the country will now be costing Rs 107 instead of Rs 106.

Similarly, getting a new PAN shipped outside India will cost an individual or entity a total of Rs 989, four rupees more than the existing price of Rs 985.

This means that service tax on restaurant bills will go up from 5.6 per cent to 5.8 per cent following the levy of 0.5 per cent Swachh Bharat cess.

Did You Know???

PAN is a 10-digit unique alphanumeric number allotted by the I-T department to taxpayers and it has authorised two domestic organisations– UTIITSL and NSDL– to issue them on its behalf.

It is issued to an individual or entity in the form of a laminated plastic card.

The government has been wanting to deepen the PAN reach in order to add more taxpayers to the I-T net and ensure better taxpayer services.