Education Cess cannot be computed on Beedi Cess when the underlying levy is administered outside the Department of Revenue.

Education Cess and Secondary and Higher Education Cess are not chargeable on Beedi Cess levied under the Beedi Workers Welfare Cess Act, 1976, because that cess is administered by the Ministry of Labour and not by the Department of Revenue. The fact that collection may be routed through revenue authorities does not make such cess part of the base for computing Education Cess or Secondary and Higher Education Cess. The article also notes that the point was covered by the cited circular and judicial decisions, and that the assessee's claim succeeded with consequential relief.

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Issues: Whether Education Cess and Secondary and Higher Education Cess are chargeable on Beedi Cess levied under the Beedi Workers Welfare Cess Act, 1976.

Analysis: Beedi Cess is a levy under the Beedi Workers Welfare Cess Act, 1976 administered by the Ministry of Labour, even though its collection may be routed through the revenue authorities. Education Cess and Secondary and Higher Education Cess are not to be computed on cesses levied under statutes administered by departments other than the Ministry of Finance (Department of Revenue). The issue was covered by the circular relied upon and by the cited judicial decisions.

Conclusion: Education Cess and Secondary and Higher Education Cess are not leviable on Beedi Cess.

Final Conclusion: The impugned order was set aside and the assessee's claim succeeded with consequential relief.

Ratio Decidendi: Cesses levied under a statute administered by a department other than the Ministry of Finance are not to form the base for computation of Education Cess or Secondary and Higher Education Cess merely because they are collected through the revenue department.

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