GST, VAT to contribute over 62% to total receipts of Delhi govt in FY23

The GST and the VAT will be the biggest contributors to the Delhi government's tax revenue which is estimated at Rs 47,700 crore for 2022-23, according to the budget presented in the Assembly by Deputy Chief Minister Manish Sisodia on Saturday.

The budget for 2022-23 has pegged the total receipts at Rs 75,800 crore, of which 62.9 per cent or Rs 47,700 crore will be the tax revenue. Other major contributors will be Small Savings Loans and Goods and Services Tax (GST) compensation) at Rs 10,000 crore each or 13.2 per cent, showed the budget document.

The tax revenue will comprise Rs 9,500 crore (20 per cent) from state excise in 2022-23. The Delhi government last year launched its new excise policy, quitting the retail liquor business, and issuing licences for 849 vends across the city to private parties through open tender.

The GST and the Value Added Tax (VAT) will contribute 65 per cent or Rs 31,200 crore to the total tax revenue in 2022-23. Around Rs 5,000 crore (11 per cent) will come from stamps and registration fee and Rs 2,000 crore (4 per cent) from motor vehicle taxes.

Out of the total budget outlay of Rs 75,800, the highest budgetary allocation is Rs 16,278 crore or 22 per cent for the education department, followed by Rs 9,769 crore (13 per cent) for health, Rs 9,539 crore (12.5 per cent) for transport, roads and bridges, Rs 7,610 crore (10 per cent) for Water Supply and Sanitation and Rs 5,766 crore (8 per cent) for Housing and Urban Development.

The allocation for Social Welfare and Social Security is Rs 4,843 crore or 6 per cent of the total budget while Rs 4,715 crore is estimated as public debt.