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of <h1>Krishi Kalyan Cess: 0.5% Service Tax for Agricultural Initiatives under Finance Act 2016, Effective June 1, 2016.</h1> The Krishi Kalyan Cess, established by the Finance Act, 2016, is a service tax imposed at a rate of 0.5% on the value of taxable services, effective from June 1, 2016. Its purpose is to finance and promote agricultural initiatives. This cess is additional to any existing cesses or service taxes under the Finance Act, 1994, or other laws. The collected funds are credited to the Consolidated Fund of India and utilized by the Central Government for specified agricultural purposes. Provisions from the Finance Act, 1994, regarding refunds, exemptions, and penalties, apply to this cess.
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