HYDERABAD: The state government’s Non-Tax Revenue has declined sharply till November, 2024 in the current financial year. As against the estimated non-tax revenue of Rs 35,208.44 crore, the realisation was only Rs 5,217.26 crore in the current financial year till November, 2024.
The state managed to raise 14.81 per cent of its estimated non-tax revenue even as it entered the fourth quarter of the financial year. This is 70.78 per cent lower than the previous year’s corresponding period. In layman terms, the non-tax revenue can be referred to as sources of income other than taxes.
The Monthly Key Indicator (November 2024) made available by the Comptroller and Auditor General (CAG) revealed these statistics.
During the previous financial year, the then BRS government had earned Rs 7,380 crore by leasing out the Outer Ring Road and Rs 5,000 crore from auctioning of lands. However, there were no such transactions in the 2024 financial year, which resulted in the decline of Non-Tax Revenue.
In the Statement of Fiscal Policy laid on the table of the Telangana State Legislature in July, 2024, during the Financial Estimates (budget) 2024-25, the state government stated that efforts were being made to improve the non-tax revenue of the state.
The Fiscal Policy Statement said: ”One of the major sources of non-tax revenues to the state is royalty and seigniorage fees from mines and minerals. A number of reforms have been introduced in the two sectors to rationalise auction of mines and plug loopholes in sand mining. The possibilities of rationalising other non-tax revenues of the state are also being explored. These policies have resulted in improving the non-tax revenues of the state. Thus, there are a number of proposals underway to shore up the revenues during 2024-25 and make adequate resources available for development and welfare programmes.”
Additionally, the Monthly Key Indicator (November 2024) also revealed other interesting facts. While it was widely speculated that the real estate sector has slowed down in the state based on the statistics of registrations, the Stamps and Registrations revenue has increased by two per cent as against the previous year’s corresponding period. The Stamps and Registrations revenue stood at Rs 9,524.19 crore up to November 2024, against the revenue estimate for the financial year of Rs 18,228.82 crore. The state has already achieved 52.25 per cent of estimated revenue.