The government of Punjab is aiming to increase tax revenue by 22 percent this fiscal, an estimate that will take the state's Tax-Gross State Domestic Product (GSDP) ratio to 8.25 per cent.
The state's estimated revenue generation from its own taxes, or taxes levied by the state, stands at Rs 14,062.40 crore compared to Rs 11,547.34 crore in 2008-09, the state budget said.
The state's target of 22 per cent growth is the highest in over three years and it comes despite a weak fiscal situation and a slowdown in the economy.
The increase in collections from Value Added Tax and stamp duty charges in 2008-09 has given the state the confidence to set the ambitious target of Rs 14,062 crore for 2009-10, an expert said.
At a time when a number of states are observing a negative growth in VAT mobilization, Punjab has set a target of Rs 8,320 crore from VAT over Rs 6529.62 crore in 2008-09.
Other major sources of revenue would include Rs 2,200 crore from stamps and registration charges, Rs 19.97 crore from land, Rs 2000.84 crore from excise and Rs 610.56 crore from Motor Vehicle Tax.
Besides,the state also expects to receive taxes to the tune of Rs 2,527.29 crore from the centre in the form of corporation tax, income tax, taxes on wealth and customs among others.
