Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
Popular Search: TDS :: ARTICLES ON INPUT TAX CREDIT IN VAT :: cpt :: ACCOUNTING STANDARD :: form 3cd :: TAX RATES - GOODS TAXABLE @ 4% :: VAT Audit :: empanelment :: due date for vat payment :: articles on VAT and GST in India :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: Central Excise rule to resale the machines to a new company :: ACCOUNTING STANDARDS :: list of goods taxed at 4% :: VAT RATES
« Service Tax »
 Benefits of GST to home buyers In the next lifetime
 GST: Jaitley says yes to cess, no to additional tax for compensating states
 GST to enhance ease of doing business, says Assocham
 Govt sources say cess is a better option than high tax rate
 Goods and Services Tax: There should not be more than three grades of rates, says Chidambaram
 Chidambaram says there cannot be multiple tax slabs in GST
 Service tax officials transferred for favouring realtor
 GST, a challenge and opportunity for accounting professionals’
 Service Tax On Hotels And Restaurants – Recent Delhi High Court Judgment
 GST Council discusses 4-tier tax rate, cess on demerit goods
 Why you shouldn’t miss these three simple tax saving options beyond Section 80C

Centres non-tax revenue surges in first half on economic services
December, 09th 2015

The government’s revenue increased by 22.8 per cent to Rs.5.13 lakh crore in the first six months of this financial year compared with Rs.4.17 lakh crore in the same period of the previous 12 months, with non-tax revenue growing by a whopping 51 per cent.

Tax revenue in the six-month period grew by 14 per cent, according to official data on the government’s finances for the quarter ended September 2015, released on Tuesday.

The huge increase in non-tax revenue to Rs 1,43,633 crore from Rs.94,704 crore can mostly be attributed to the ‘Economic Services’ component of the ‘Other Non-Tax Revenue’ segment.

These ‘economic services’ contributed almost 35 per cent of the government’s non-tax revenue in April-September 2015 compared with just 18 per cent in April-September 2014.

“One large component of this economic services segment is revenue earned through the energy sector, due to the auctions taking place there, and another is the revenue the government is earning in stages from the telecom auctions conducted last year,” Madan Sabnavis, Chief Economist, Care Ratings, told The Hindu.

Another area contributing to the increase in non-tax revenue is the dividends and profits accruing to the government, especially what was transferred from the Reserve Bank of India (RBI) to the government, according to Mr. Sabnavis.

Over the last two years, the RBI balance sheets show that it has transferred 99.99 per cent of its profits to the government — this amounted to almost Rs.66,000 crore in 2014-15.

The increase in tax revenue can mostly be explained by the fact that indirect tax collections in the form of customs, excise and service tax have increased significantly due to revenue-generating measures taken by the government over the last year such as increasing the excise duty on petrol, diesel and tobacco, and increasing the service tax rate.

Another likely factor contributing to tax revenue in the first two quarters of the financial year is the advance tax filed by corporates, according to Mr. Sabnavis.

“Tax revenue is up also because advance tax filings by corporates have also gone up. This usually happens in the first two quarters. Companies project their performance over the year and so pay advance tax on that basis. The third quarter should see a correction when these companies have a better idea of their likely performance in the year,” he said.

Net market borrowings
The government data also shows that net market borrowings during the first half of this financial year were at Rs.2.14 lakh crore, which works out to 46.9 per cent of the budgeted amount for the entire year, lower than the 56 per cent of the budgetary expectations achieved by September in the previous period.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Multimedia Presentations Multimedia Solutions 3D Solutions Corporate Presentations Business Presentations Multimedia Presentation India M

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions