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Indirect tax collections grow 22.54% on economic recovery

After a negative growth last fiscal, indirect tax collections picked up substantially by 22.54 per cent at Rs 121.54 billion during April to May 15 this fiscal, signalling economic recovery in the country.

While collections from customs duty were up by 13.23 per cent at Rs 47.40 billion during April-May 15, the mop-up from excise duties increased by a robust 29.33 per cent at Rs 74.14 billion, official sources in New Delhi on Wednesday.

The impressive excise collections pushed up the growth of indirect tax collection to 22.54 per cent as compared to 21.36 per cent targetted for the entire fiscal.

The government aims to raise Rs 1,363.34 billion from indirect taxes in 2002-03, of which Rs 911.41 billion is projected to come from excise duties and another Rs 451.93 billion from customs.

Sources said indirect tax collections, which declined by 13.5 per cent rate at Rs 99.18 billion during April-May 15 last fiscal, have rebounded to a double-digit growth during the same period of current fiscal.

During 2001-02, indirect tax collections faltered to a negative growth rate of 3.36 per cent at Rs 1,123.41 billion, which was far below the Budget estimate of Rs 1,362.70 billion.

While excise mop-up grew by 5.28 per cent at Rs 722.61 billion, customs performed badly, recording a negative growth of 15.83 per cent at Rs 400.80 billion.

During the first 15 days of May, indirect tax collection was up by 21.54 per cent at Rs 44.05 billion this fiscal as against Rs 36.24 billion during the year-ago period last fiscal.

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