Education Cess on Club

Government of the Punjab, vide Finance Act 2011, levied Education Cess on elite clubs whose initial membership fee for any category of members is Rs 200,000 or more and which are notified as club by the government,  at the following rates

Activity on which Cess is Levied   Rate of Cess

Clubs with initial membership fee 

  10% of the initial membership fee

Services rendered by the club  

10% of the charge for a service rendered

The cess shall be levied on actual initial membership paid by the applicants and the services provided to any person or a member regardless of the date of membership. Notwithstanding any reduction of initial membership after the club has been notified, the club shall remain notified and the cess shall continue to be levied on such club