Skip to main content

₹50,072 crore health cess not transferred over seven years: JSA India

By A Representative 
A recent audit report by the Comptroller and Auditor General (CAG) of India has revealed that ₹6,646 crore collected as Health Cess during the 2024-25 fiscal year was not transferred to the Pradhan Mantri Swasthya Suraksha Nidhi (PMSSN), prompting sharp criticism from the Jan Swasthya Abhiyan India, which has demanded accountability from the Union government.
According to the CAG’s audit report on the Finance Accounts of the Union Government for 2024-25, the Ministry of Finance collected ₹21,085 crore as Health Cess during the fiscal year but transferred only ₹14,439 crore to PMSSN, resulting in a short transfer of ₹6,646 crore. The audit report noted that despite repeated observations over the years, the Ministry of Finance has continued the practice of not transferring the full amount of cess receipts to dedicated reserve funds under the Public Accounts of India.
The CAG stated that when the matter was raised with the Ministry of Health and Family Welfare, the ministry replied in January 2026 that the Ministry of Finance was the nodal authority responsible for collecting the cess and allocating it to reserve funds. The audit report added that a specific explanation regarding the short transfer was still awaited.
In its statement, Jan Swasthya Abhiyan India alleged that the Ministry of Finance had repeatedly retained substantial amounts of Health Cess within the Consolidated Fund of India instead of transferring them to the designated reserve fund, which it said undermined transparency and accountability in public finance management. The organisation argued that earmarked cess collections meant for strengthening public healthcare should be ring-fenced and fully traceable.
Data compiled from CAG audit reports between 2018-19 and 2024-25 showed that the Centre collected ₹96,627 crore as Health Cess during the seven-year period but transferred only ₹46,554 crore to the Public Accounts of India, resulting in a cumulative short transfer of ₹50,072 crore, or nearly 52 per cent of the total collections.
Jan Swasthya Abhiyan India demanded that Union Finance Minister Nirmala Sitharaman explain why a separate accounting head for Health Cess was not created until March 2021 and why repeated CAG observations had not resulted in compliance with constitutional accounting provisions requiring cess collections to be transferred to dedicated reserve funds.
The organisation also cited findings from the latest CAG audit report showing significant underutilisation of allocated health funds by the Ministry of Health and Family Welfare. According to the report, major schemes related to Human Resources for Health and Medical Education and the Pradhan Mantri Ayushman Bharat Health Infrastructure Mission recorded substantial savings, or unspent allocations, over the last three audited fiscal years.
Representatives of the organisation, including Gourang Mohapatra and Rahi Riyaz, said the withheld ₹50,072 crore could have significantly strengthened India’s public health infrastructure by upgrading district hospitals, establishing government medical colleges, improving primary and community health centres, and recruiting healthcare personnel in underserved regions. They also said the funds could have been used to expand emergency and critical care facilities, establish oxygen plants and intensive care units, and improve disease surveillance systems.
Another group of representatives, including Sanjeev Sinha and Amulya Nidhi, alleged that despite the availability of earmarked resources, public health infrastructure and medical education continued to face financial constraints. They claimed that repeated non-expenditure and non-transfer of health funds raised concerns about the weakening of public healthcare services and increasing privatisation in the sector.
The organisation has called for corrective measures to ensure full transfer and effective utilisation of Health Cess funds for strengthening India’s public healthcare system.

Comments

Post a Comment

NOTE: Hateful, abusive comments won't be published. -- Editor

TRENDING

Sardar made up his mind on Pakistan in Dec 1946 "before" Mountbatten's Partition Plan

By Hari Desai* One has to be extra cautious while dealing with the history of towering personalities of the Indian freedom struggle, especially that of Sardar Vallabhbhai Patel (October 31, 1875 - December 15, 1950). Present-day politicians prefer to "pronounce” on his life and quote him according to their convenience like a blind person describing an elephant.
2 comments
»

The Guardian controversy and the moral question of 12 years of Modi's leadership

By Mohd Ziyauallah Khan    A recent opinion article published in The Guardian , titled "Can Narendra Modi Accept Any Medal?", reignited a fierce debate about Prime Minister Narendra Modi's international recognition and the moral legacy of his leadership. The article argued that while Modi has received numerous state honours and awards from foreign governments, a more fundamental question remains unanswered: Can a leader be celebrated internationally while presiding over growing concerns about democratic decline, social polarization , and civil liberties at home? The controversy quickly spread across political and media circles. Supporters dismissed the article as biased, while critics argued that it reflected concerns already expressed by international democracy watchdogs , human rights organizations, and sections of the global press. Yet beyond political loyalties lies a deeper question: How should the success of a government be measured, especially when it...
2 comments
»

Beyond the Ayodhya theft: A tainted system, a crisis of trust

By Martin Macwan*   Recently, the issue of "theft of offerings at the Ayodhya Ram temple" has taken centre stage on social media. Whether "no theft occurred," or "this is the first such incident," or "the theft was limited only to cash" are now secondary questions, because the evidence has come not from the opposition, from people of other faiths, or from foreigners, but from ordinary devout believers, from saints and monks, and from sincere workers of the ruling party itself.
Post a Comment
»