Bhubaneswar: The demonetisation of high currency `1,000 and `500 notes has badly impacted the revenue collection of the state government.
According to a report of the finance department, the collection of revenue from excise, Value Added Tax (VAT), Central Sales Tax (CST), stamp duty, registration fees and commercial taxes decreased in the month of December. The revenue collection decreased in comparison to the collection of October. The demonetisation move was effected November 8 last year after a shock televised announcement by Prime Minister Narendra Modi.
The own tax revenue collection last October was `1,794.10 crore, which decreased to `1,739.07 crore in November and `1,540.01 crore in December last. It means the own tax collection decreased by 3.07 per cent in November and 11.45 per cent in December 2016, sources said.
Similarly, the government collected non-tax revenue collection of `415.91 crore last October while the collection decreased to `310.28 crore (excluding `500 crore collection on account of dividends of OCAC) in November. But, in December last year, the non-tax collection slightly went up and stood at `483.67 crore, they said.
In the 2015-16 financial year, the own-tax and non-tax revenue collection in December increased by 6.4 per cent and 13.8 per cent respectively.
The figures show that due to demonetization, revenue collection was affected. Otherwise, revenue collection in December should have increased this year, officials said.
However, the revenue collection has decreased by less than 1 per cent if it is compared with the figures up to December of the last financial year. The total revenue collection up to December 2015 was `20,261 crore while till December 2016, the figure was `20,101.39 crore.
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