|
Tax Revenues Centre and States
India has the lowest direct tax/GDP ration in the world - UK it is around 40%, Germany 25%, US and Japan are around 20%. Though services account for half of GDP, the focus had been more on excise and customs collections; i.e. on manufacturing. As the ambit of services being taxed increases, it will pave a way towards a Goods & Services Tax (GST) when all the states agree to join the consensus.
| Rs bn |
02-03 |
03-04 |
04-05 |
05-06 RE |
06-07BE |
| State tax revenues |
1,421 |
1,592 |
1,891 |
2,248 |
2,572 |
| Sales Tax |
860 |
973 |
1,168 |
1,385 |
1,609 |
| State Excise Duty |
190 |
194 |
219 |
261 |
295 |
| Others |
371 |
425 |
504 |
602 |
667 |
| Central Tax Revenues |
2,163 |
2,543 |
3,050 |
3,701 |
4,422 |
| Excise |
823 |
908 |
991 |
1,120 |
1,190 |
| Customs |
449 |
486 |
576 |
642 |
771 |
| Corporation Tax |
462 |
636 |
827 |
1,036 |
1,330 |
| Income Taxes |
369 |
414 |
493 |
662 |
774 |
| Service Tax |
41 |
79 |
142 |
230 |
345 |
| Total Centre and States |
3,584 |
4,136 |
4,941 |
5,950 |
6,994 |
| |
| Indirect Taxes |
2,692 |
3,019 |
3,551 |
4,181 |
4,816 |
| Direct Taxes |
892 |
1,117 |
1,390 |
1,769 |
2,177 |
| |
| % to GNP |
02-03 |
03-04 |
04-05 |
05-06 RE |
06-07BE |
| State tax revenues |
6.3 |
6.3 |
6.7 |
7.1 |
7.1 |
| Sales Tax |
3.8 |
3.9 |
4.1 |
4.4 |
4.4 |
| Service Tax |
0.2 |
0.3 |
0.5 |
0.7 |
1.0 |
| Total Centre and States |
16.0 |
16.4 |
17.5 |
18.7 |
19.3 |
| |
| Indirect Taxes |
12.0 |
12.0 |
12.6 |
13.1 |
13.3 |
| Direct Taxes |
4.0 |
4.4 |
4.9 |
5.6 |
6.0 |
|
