Andhra Pradesh Business

Andhra’s commercial tax collection grows by 83 per cent

VIJAYAWADA: Despite a partial curfew to control the spread of Covid-19, Commercial Taxes department saw its revenue collection grow by 83 per cent in the first quarter of 2021-22. Officials cite permitting businesses to operate for some hours instead of enforcing a complete lockdown and continuation of direct benefit transfer to beneficiaries of welfare schemes as the reasons for the growth

The state government, which initially imposed a partial curfew from 12 pm to 6 am, gradually increased the relaxation hours, which now stand at 6 am to 10 pm (except in the twin Godavari districts) due to the decline in the number of Covid cases.In fact, shopping complexes, cinemas and gyms were not allowed to operate in the first quarter. However, small businesses being allowed to run ensured an increase in the revenue collection.

According to the data accessed by TNIE, the total revenue collection in the first quarter of the 2021-22 fiscal stood at Rs 11,191.8 crore as against Rs 6,094.46 crore in the first quarter of 2020-21.While the GST revenue (with ad-hoc & compensation received) stood at Rs 5,796.64 crore in the first quarter against Rs 3,510.37 crore in the corresponding period of the previous fiscal, revenue generated from petroleum products stood at Rs 3,482.07 crore against Rs 1,860.1 crore in the first quarter of 2020-21.

Similarly, Rs 1,856.8 crore was generated through VAT on liquor against Rs 693.51 crore the first quarter of the last fiscal; Rs 56 crore was generated towards professional tax against Rs 30 crore in the corresponding period of 2020-21.Department chief commissioner Peeyush Kumar said businesses were not as affected in the first quarter of this fiscal. “Putting cash into the hands of the beneficiaries through DBT helped the economy despite the Covid pandemic.”

Commercial Taxes, stamps & Registration now under Finance dept’s control

To have more synergy of resource mobilisation with the finance department, the state government has decided to transfer ‘commercial taxes, registrations and stamps’, which are currently under the control of the revenue department, to the Finance Department. According to a government order, the related heads of the departments and autonomous organisations, commissioner of commercial taxes, director and inspector general, registrations and stamps and AP VAT Appellate Tribunal at Visakhapatnam will not come under the purview of the Finance Department. These transferred subjects will be looked after by Gulzar, Secretary, Finance with overall supervision and control vested with SS Rawat, Principal Secretary (Finance). However, according to top officials, the transfer subjects will not have any impact on the portfolios of the two Deputy Chief Ministers looking after these subjects.