Date:14/10/2004 URL: http://www.thehindubusinessline.com/2004/10/14/stories/2004101402320400.htm

Back Indirect tax collections up 25% in September

Our Bureau

New Delhi , Oct. 13

THE Central Government's indirect tax collections increased by 12.23 per cent during the first-half of the current fiscal at Rs 74,510.45 crore, compared with Rs 66,391.59 crore achieved in the same period last year.

The collection performance so far represented 41.95 per cent of the Budget estimate of Rs 1,77,599 crore for indirect taxes for the year 2004-05.

While customs duty collection for the period under review increased by 8.84 per cent to Rs 25,216.91 crore (Rs 23,167.96 crore), excise duty collections increased by 10.11 per cent to Rs 44,494.14 crore (Rs 40,409.15 crore).

Service tax collections in the first half of the current fiscal surged 70.5 per cent to Rs 4,799 crore, against Rs 2,814 crore during the same period last year.

The Budget estimate for customs duty for 2004-05 has been pegged at Rs 54,250 crore. In the case of excise duty, the Budget estimate for 2004-05 has been pegged at Rs 1,09,199 crore. For service tax, the Budget estimate for 2004-05 has been fixed at Rs 14,150 crore.

Indirect tax collections during September stood at Rs 15,132.65 crore, which represents a 25.06 per cent increase over Rs 12,100.01 crore achieved in the same month last year.

While customs duty collections during September stood at Rs 5,423.65 crore (Rs 4,177.08 crore), excise duty collections were at Rs 9,032.58 crore (Rs 7,428.61 crore). Service tax collections stood at Rs 676.22 crore (Rs 494.32 crore).

An official release said that the anti-evasion and audit activities of the Central Excise Department have been strengthened to augment revenues. The department has realised Rs 109.64 crore from unscrupulous manufacturers who were evading excise duty and issued notices demanding duty of Rs 1,234 crore.

The major commodities that have been found to be evasion prone are automobile components and parts, iron and steel products, pan masala, gutkha, polyester yarn and bulk drugs.

On the customs duty front, the department has in the first six months of the current fiscal realised Rs 102.55 crore from importers and issued show cause notices demanding duty of Rs 645.54 crore.

On the anti-smuggling front, goods valued at Rs 404.21 crore were seized during April-September 2004. The main items seized were machinery and equipments, petroleum products, electronic goods, cigarettes, red sandalwood and sea horses.

In the first six months of the current fiscal, 206 persons were arrested under the Customs Act and 55 persons were detained under the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act.

The authorities had during September 2004 seized 5.35 kg of heroin, 27.7 kg of mandrex tablets and 255 kg of hashish.

The value of narcotic drugs and psychotropic substances seized during September stood at Rs 6.4 crore.

The total value of narcotic drugs seized during the first six months of the current fiscal stood at Rs 46 crore.