Tamil Nadu's own tax revenue rises 37% to Rs 72,000 crore

CHENNAI: Indicating revival of economic activities post-Covid, Tamil Nadu has registered a 37% increase in the state's own tax revenue to 72,441 crore in the first six months ending September of the current fiscal 2022-23, compared to 52,908 crore in the same period of 2021-22. This constituted 50.7% of the state's own tax revenue estimated for the whole year (2022-23) at nearly 1.4 lakh crore in the Budget estimates for 2022-23.
Helped by an even higher growth in the state's non-tax revenue and share in central taxes but lower components, the overall revenue receipts of Tamil Nadu increased by 32% to 1.1 lakh crore for the first six months ending September 2022 compared to 85,210 crore registered in the corresponding period of the previous year.
The 'Trends in Revenue Receipts and Expenditure' report of the Tamil Nadu government during the first six months of fiscal 2022-23 was placed in the assembly by minister for finance and human resources management Palanivel Thiaga Rajan on Friday.
TN's non-tax revenue grew by 50%
According to the report, the 1.1 lakh crore constituted 48.5% of the budgeted revenue of the state in the overall Budget Estimates 2022-23, which was pegged at a little more than 2.3 lakh crore.
As per CAG data, TN's total revenue at the end of September 2022 was 1.3 lakh crore, compared to 1.1 lakh crore at the end of September 2021. Stamps and registration as well as state goods and service tax (SGST) had grown by 39% and 37% in the first six months of 2022-23 at 8,662.1 and 26,285.3 crore respectively. According to the report, Tamil Nadu's non-tax revenue registered a growth of 50.8% at 5,994 crore till September 2022 compared to 3,974 crore till September 2021. But the collection till September constitutes 38.6% of budget estimates. The state government expects a shortfall due to poor collection performance and non-revision of rates of certain non-tax items that were expected this financial year, it said. However, the government is taking steps to improve revenue collection by fees and charges, the report said.