Question : Education Cess

(a) whether the entire amount of money collected as education cess is spent on education related programmes and activities and if so, the details thereof; and
(b) if not, the reasons therefor?

Answer given by the minister

(a) & (b) : Yes, Sir. The entire amount of Primary Education Cess is transferred to Prambhik Shiksha Kosh (PSK) which is used to finance the schemes namely, Sarva Shiksha Abhiyan and Mid Day Meals in Schools. As regards the Secondary and Higher Education Cess, the same is utilized to finance the schemes of Department of Higher Education, directly through its budget. The details of expenditure in 2016-17 (Budget Estimates) are as under :

S.No. Collection of Cess Amount (Rs. in crore) Scheme/Activity financed Amount (Rs. in crore)
1 Primary Education Cess 20,272.65 Sarva Shiksha Abhiyan (met from PSK) 14,556.65
Mid Day Meals in Schools(met from PSK) 5,716.00
TOTAL = 20,272.65
2 Higher Education Cess 10,136.33 Allocation of Department of Higher Education for 2016-17(BE) 28,840.00

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