SRINAGAR: The Jammu and Kashmir government’s spending is higher on tax collection for 2012-13 as compared to All India average.
According to a government of India’s official data, the spending on collection of VAT, one of main revenue sources, for the government has witnessed a surge of Rs 60.47 crore in 2012-13, touching Rs 88.07 crore than the previous fiscal when it was Rs 27.60 crore.
This much of spending during 2012-13 has brought an additional collection of Rs 760.38 crore to government, contrary to 2011-12 when an additional spending of Rs 5.43 crore had pushed up tax collection by Rs 989.49 crore which then has scaled to Rs 3414.01 crore from Rs 2424.52 crore achieved in 2010-11 where the collection cost had been Rs 22.17 crore.
The All India average for VAT collection has been 1.89 percent, while the state government’s average in 2011-12 was 2.11 percent.
Spending on other tax collections including State excise, Stamp duties and registration and Taxes on vehicles have also hovered above the All India average level.
During 2012-13 Rs 18.88 crore was the spending on collection of State excise with gross collection achieved being Rs 421.28 crore having average touching 4.48 percent which at the All India level is 2,98 percent.
For collection expenditure in Stamp duty, the expenditure percentage, according to the GoI figures, is highest as compared to the set All India average where it is 0.83 percent while for the state it is 9.69 percent with expenditure touching Rs 23.27 crore achieving collection of Rs 240.14 crore.
Similarly higher expenditure is witnesses for Taxes on vehicles where a gross collection of Rs 117.89 crore is achieved with spending touching Rs 8.17, that is 4.03 percent higher than the All India average.
While the state government recent said that Tax collection has increased significantly during the past years, saying it has achieved 33 percent growth in tax collection since 2009, the GoI report has asked the State government to look into this aspect of higher costs of collection of revenue.