Levy of surcharge

Notwithstanding anything contained in sub-section (1) of section 3 of the Act, from and after the commencement of this section, there shall further be levied and paid to the State Government a surcharge on the tax payable by every passenger carried by a transport vehicle, excluding a goods vehicle/carriage for each journey at a rate of 20% subject to a minimum of 5 paise in any one case, the amount of surcharge being calculated to the nearest multiple of 5 paise by ignoring 2 paise or less and counting more than 2 paise as 5 paise, for the purpose of payment of ex-gratia grant to a passenger under the scheme to be prepared and modified by the State Government in the Official Gazette: Provided that such scheme may be framed by the State Government with retrospective effect from which the surcharge was levied.