It is non-lapsable fund in the public account for secondary and higher secondary education created in 2017 under the administrative control of MoHRD.
The cess collected under the fund would be utilized in ongoing schemes of MoHRD. However, the Ministry of Human Resources Development can allocate funds for any future programme/scheme of secondary and higher education, based on the requirement, as per prescribed procedure.
Funds under MUSK would only be allocated post utilization of gross budgetary support (GBS).
Now 3% cess on all central taxes (2% for elementary education and 1% for higher secondary education) will be levied.
Craving for Funds
In India only 4.6% of the GDP has been allocated for Education. Various committees have recommended allocating atleast 6% of GDP to education to counter the follies in Indian education system.
Since 2004, 2% cess on all central taxes was applied to augment resources to fund education beyond existing budgetary allocations.
First in 2010 the concept of MUSK was introduced which talked about creating a non-lapsable fund as a receptacle for the proceeds of secondary and higher secondary education but the idea lapsed.
