Zee Media Bureau
New Delhi: Your cost of living is set to get slightly costlier from June 1.
This is because the new cess Krishi Kalyan Cess (KKC) announced by Finance Minister Arun Jaitley in Budget 2016 will come into play from June 1.
The purpose of levying the cess is to finance and promote initiatives to improve the condition of the farm sector. The Krishi Kalyan Cess will be in addition to any cess or service tax.
The cess will be levied at 0.5% on the value of all taxable services, taking the service tax rate of 14.5 percent to 15 percent.
Telecom services, eating out in restaurants, movies, spa, saloon, gymming, banking transactions, and many more services are likely to attract higher service tax of 15 percent offsetting your monthly income.