¹[35. Utilisation of cess.- (1) The cess, including any interest or penalty, shall be credited to the Consolidated Fund of India and be utilised for the purpose as provided in section 7 of the Act after due appropriation authorised by the Parliament.

(2) The cess, credited to the Consolidated Fund of India under sub-rule (1), shall be transferred to a fund to be called the Health Security se National Security Cess Fund after obtaining appropriation from the Parliament.

(3) The transfer of the cess to the said Fund shall be carried out quarterly, by the Department of Revenue, Ministry of Finance.

(4) The activities, schemes and programmes to be financed from the said Fund shall encompass those related to public health and national security of India.

(5) The identification of the activities, schemes and programmes and the inter-se allocations of the cess, including any interest or penalty, for the said designated purposes shall be decided by the Budget Division, Department of Economic Affairs in consultation with Department of Expenditure, Ministry of Finance.

(6) The transfer of the amount to the said Fund, the debit of the Fund, and the maintenance of the ledger of the Fund shall be as per the accounting procedure formulated by the Office of the Principal Chief Controller of Accounts, Central Board of Indirect Taxes and Customs, and as approved by the Comptroller and Accountant General of India.

(7) The accounts of the Fund maintained by the Central Government shall be subject to audit by the Comptroller and Auditor General of India.]₁