• The Tax Terminal

The End of the Flood Cess in Kerala


Currently, goods and services attracting more than 5% GST are subject to an additional one per cent flood cess. The Kerala Government has announced that flood cess will end on 31st July 2021. The flood cess was levied in Kerala in order to raise the funds required for re-construction of State in the wake of the destruction caused in the State by a flood in August 2018. On the 23 July 2021 the Kerala Goods and Services Tax Department issued a press release bearing File No. CT/15318/2019-P2 to inform the traders to make necessary changes to their billing software to end the application of flood cess from 01 August 2021 on sale of goods and services.


[1] 'Kerala to end ‘Flood Cess’ on July 31; Request traders to modify billing software’, Taxsutra (23 July 2021) https://www.taxsutra.com/news/kerala-end-flood-cess-july-31-request-traders-modify-billing-software

[2]‘No Flood Cess from 1st August, 2021: Kerala Govt’, Taxscan Team (23 July 2021) https://www.taxscan.in/no-flood-cess-from-1st-august-2021-kerala-govt/124177/