There is 20% increase in the revenue from commercial taxes in TN
Posted on: 10/Jul/2019 10:26:05 AM
The latest news is in 2018-19, the revenue from the commercial taxes in the state of TN has increased by 20 percent when compared to the previous year. It must be noted that 2018-19 was the first full year of implementation of GST. In the year 2017-18, the department total revenue was Rs 73,148 crores and this has now increased to Rs 87,905 crores in 2018-19. Point is this revenue increase was also the highest in the last 5 years.
Various factors that contributed to the increase in the revenue now are better performance in the GST collection, increase from the sale of fuel and liquor etc. Information collected is though GST collection has increased amazingly the main source of revenue is from the excise and VAT on liquor/fuel. Non GST sources have contributed an amount of Rs 42,415 crores out of total amount of Rs 87,905 crores.
It was later pointed out by Mr. K.C. Veeramani, minister of commercial taxes, that the finance minister has been pushing his department for 20 % increase in the tax revenue year-on-year. He spoke about how his department was able to achieve it last year. He revealed that improved tax collection was due to certain reforms that were introduced in the department.
A senior official belonging to the commercial taxes department expressed his thoughts. He explained that TN has got a total of 9.66 lakh tax payers registered under GST as on 31st March 2019. In the previous year, 7.44 lakhs tax payers were registered. He threw light on the absence of trader-officer interface and said the registrations were carried out online. Finally, he highlighted about how the payment of GST was done only by online and how by this any fraud activity was reduced. Information is despite the economic turmoil the commercial department has achieved a record increase in the tax revenue.
GST compensation as well as IGST settlement is included in the revenue increase. There were some complaints from the DMK members Mr. Mohideen Khan and Mr. K.C. Sekar regarding the demands for the grants for the department. Example of bread and rusk were quoted. Point here is bread is exempted from GST whereas rusk is taxed. In the similar way, GST on fried gram and roasted gram were different.
It was pointed out that for the cottage industries to thrive these discrepancies must be cleared fully. Another point that was raised by the DMK members was about the dropping in the registrations. It is worthy to note that the number of registrations has come down but the revenue from these sources has increased. Increase in the values of the property was responsible for the increase in the revenue in the stamp duty and registration.
