Just about a week into the new financial year, there is now more clarity on the enormity of the challenges the government will face with regard to its revenue mobilisation efforts during 2020-21. The challenge will arise not only from the adverse impact of Covid-19 on the economy, but also from a huge overestimation of revenue collections during 2019-20.
First, let the revenue collection performance in 2019-20 be placed in the context of the Budget that was presented on February 1, 2020. Gross tax revenue collections during 2019-20 were expected to be about Rs 21.63 trillion in the Revised Estimate
Disclaimer: These are personal views of the writer. They do not necessarily reflect the opinion of www.business-standard.com or the Business Standard newspaper
