Legal Definitions - cesse

Cesse

In legal contexts, cesse refers to a specific type of tax or levy imposed by a government for a particular, designated purpose. Unlike general taxes that contribute to a broad public fund, the revenue generated from a cesse is specifically allocated to finance a stated objective. It can also, less commonly, refer to the act of imposing such a tax.

Here are some examples:

• A local municipality decided to implement an "urban development cesse" on new construction projects within its limits. The funds collected from this specific charge were then exclusively directed towards improving public infrastructure in newly developed areas, such as building new roads, upgrading sewage systems, and creating green spaces, rather than being used for general city expenses.

  This example illustrates cesse as a targeted levy (on new construction) with a clear, specific purpose (urban infrastructure improvement), distinct from general property taxes.

• Following a natural disaster, a state government might introduce a temporary "disaster relief cesse" on certain consumer goods. The revenue generated from this particular tax would be dedicated solely to funding recovery efforts, such as rebuilding damaged homes, providing aid to affected families, and restoring essential services, ensuring the money is not diverted to other government programs.

  Here, cesse is a specific tax (on consumer goods) tied to a particular emergency relief purpose, demonstrating its earmarked nature for a critical objective.

• A national government could establish a "research and innovation cesse" on corporate profits for specific industries. The money raised from this specific charge would then be channeled directly into grants for scientific research, technological development, and educational programs designed to foster innovation within those industries, rather than being part of the general corporate tax revenue.

  This example shows cesse as a targeted levy (on corporate profits) with a clear objective of promoting research and innovation, separate from broader corporate income taxes.