IMF Team To Meet FinMin Officials Next Week

New Delhi, October 25: | Updated: Oct 26 2002, 05:30am hrs
A team of International Monetary Fund (IMF) officials will hold consultations with senior finance ministry officials next week on developments in revenue collection and other fiscal issues.

The discussions would be a part of the Article IV consultations of IMF, which started on October 21. Surveillance of every major economy is carried through consultations between the IMF staff, member governments and central banks under Article IV consultations. The resulting reports are then taken up for discussion at the IMFs executive board.

The visiting IMF delegation is headed by deputy director, Asia and Pacific Department, Wanda Tseng. Meetings with senior finance ministry officials are slated between Oct 28-30.

According to ministry sources, the developments in revenue collection will feature in the discussions. This will include issues related to corporate tax, income tax, excise and customs, tax administration, refunds, non-tax revenue and factors explaining improved revenue collection. The consultations will also focus on the revenue forecast for 2002-03, impact of post-Budget changes, reduction of excise duty on petrol/diesel, impact of drought on revenue collection and disinvestment receipts.

Other issues which will figure in the discussions include size of arrears in tax payment, Fiscal Responsibility and Budget Management (FRBM) Bill, use and classification of disinvestment receipts, handling of central sales tax (CST) when value-added tax is introduced and handling of service tax allocation between the Centre and the states. The mandate of the new tax working group (Kelkar committee) will also be part of the discussions.