Assam State interim Budget 2024-25

The Hon’ble Finance Minister of Assam Smti. Ajanta Neog presented budget 2024-25 on 12.02.2024

Relevant para from the Budget speech about taxation is reproduced below.

1. In financial year 2023-24, the Excise Department through effective regulation and licensing of various alcoholic beverages generated an impressive revenue of over Rs. 2000 crore in 2023. A major highlight of the year was the department’s extensive crackdown on illicit activities with more than 13,000 illicit liquor cases registered and 3,000 arrests made. Furthermore, the Excise Department promoted local businesses through a liberal heritage beverage policy. Incentives and reduced levies for local alcohol producers were introduced, encouraging the growth of the local alcohol industry. This resulted in the establishment of wineries by local entrepreneurs within the state.
2. Initiatives were undertaken to enhance transparency and efficiency, including the introduction of e-tendering for issuing new wine licenses and implementation of the ‘track & trace’ initiative for monitoring of alcohol throughout the supply chain, reducing evasion.
3. I allocate an amount of Rs. 111.82 crore to this department.

Part II

Speaker Sir, it is my proud privilege to inform that there has been considerable increase in Revenue receipts to Government in last three years.

With profound satisfaction, I wish to inform the House that there has been a growth of 30.7% in State’s Own Revenue in 2022-23 compared to 2021-22. This kind of phenomenal growth is unprecedented and has been possible due to slew of reforms across all revenue earning departments. At every stage of this journey, the guidance and leadership provided by our Honourable Chief Minister has been exemplary.

This growth in revenue is reflected in all segments like Taxation, Excise, Forest, Land Revenue, Transport etc. It is pertinent to mention some of the achievements and initiatives that we propose for the upcoming year:

Commercial Tax

• There is mop up of Rs.19,715 crore in FY 2022-23 under Finance (Taxation) Department, exceeding the previous year receipt by 21%. Assam is among the top few states in the country with highest growth in GST collection. GST and non-GST collection till 31stJanuary 2024 is Rs.18,474 crore against Rs.16,240 crore collection for the corresponding period during financial year 2022-23, registering a growth of 14%. Next year, we will strive for a growth of 16%.
• With help from IIT Hyderabad, Data Analytics capabilities are being developed in Commissionerate of Taxes to check tax evasion.
• To support the Tea industry, an exemption from income tax was extended for three years. Additionally, generation of renewable captive power plant received a three-year exemption from electricity duty till FY 2025-26. I would like to continue these exemptions till 2025-26 without any change.

Excise

• Excise Department, through set of reforms and effective regulation generated impressive revenue of Rs.2527 crore in 2022-2023. This department has been able to collect Rs.2459 crore till 31stJanuary, 2024, against Rs.2008 crore for the corresponding period during 2022-23, registering an impressive growth of over 22%.
• A major highlight of the year was the department’s extensive crackdown on illicit activities with more than 13,000 illicit liquor cases registered and 3,000 arrests made.
• Our government is committed to have transparent process of selection of licensee and implementation of the ‘track & trace’ initiative for monitoring of leakages throughout the supply chain.