Revenue in first eight months at 67.8% of Budget target for full fiscal; FM expects to mop up R6.46 lakh cr in FY16
The Centre’s receipts from customs, central excise and service tax rose 24.3% in November this year at Rs 55,297 crore against Rs 44,475 crore in the same month last year. During April-November, the collection of these indirect taxes stood at Rs 4.38 lakh crore, up 34.3% from the same period a year ago.
The indirect tax revenue in the first eight months of the fiscal was 67.8% of the Budget target for the full fiscal year, the government said on Wednesday.
Finance minister Arun Jaitley expects to mop up Rs 6.46 lakh crore from indirect taxes in FY16, a growth of around 19% over last year. No figure about the indirect tax growth rate without the impact of the revenue raising measures is immediately available. Indirect tax collections grew 35.9% in April-October and when stripped of the additional tax measures, the growth was 11.6%. Industrial output growth had hit a four-month trough of 3.6% in September, having touched a 34-month high in the previous month, pointing at a fragile recovery just as the economic output seemed to have gained traction. Nevertheless, the central excise collections increased to Rs 23,033 crore during November 2015 registering an increase of an impressive 58.3% against R14,551 crore in the same month last year.
This, analysts said, seemed somewhat at odds with the tepid expansion in industrial output during the period. On the other hand, customs collection increased marginally by 1.7% to Rs 17,475 crore during the month under review compared with R17,185 crore in November 2014. Service tax collection rose by 16.1% to Rs 14,789 crore as against Rs 12,739 crore in the same month previous year. In April-November, service tax revenue grew 25% to Rs 1.38 lakh crore.