The finance ministry in February had estimated the deficit at ₹15,91,089 crore or 6.9% of GDP.
The finance ministry in February had estimated the deficit at ₹15,91,089 crore or 6.9% of GDP.
The fiscal deficit has improved to 6.71% of FY12 GDP, exceeding the revised budget estimate of 6.9%, mainly due to higher tax receipts.
Unveiling the revenue-expenditure figures of the central government, the Controller General of Accounts (CGA) said the fiscal deficit in absolute terms stood at ₹15,86,537 crore (provisional). In February, the finance ministry had estimated the deficit at ₹15,91,089 crore or 6.9% of GDP.
The data shows that the tax receipts during the financial year stood at ₹18.2 lakh crore as against the Revised Estimate (RE) of ₹17.65 lakh crore. The total expenditure was also over Rs 37.94 lakh crore as against the RE of ₹ 37.7 lakh crore tabled in Parliament on February 1, 2021. The CGA further said that the revenue deficit at FY22 stood at 4.37% for FY22.
In another set of figures, the CGA said the fiscal deficit during the first month of FY13 was 4.5% of the budget estimate for the current fiscal. The deficit was 5.2 per cent a year ago. The government said it expects a fiscal deficit for the current fiscal at 6.4% of GDP, or ₹16.61 lakh crore.
In April 2022, there was a revenue surplus of ₹591 crore. The government meets its fiscal deficit through market borrowing.
Vivek Jalan, Partner, Tax Connect Advisory, said the revenue collection was around ₹27 lakh crore, which was nearly ₹5 lakh crore more than the budget estimate.
Last year’s revenue collection grew by about 35%, thanks to a nearly 50% increase in direct taxes and about 20% growth in indirect taxes, he said.
“The increase in tax revenue, especially the GST collection, was primarily a result of DGARM, which is the data analytics wing of the GST Council,” said Mr. Jalan.
Aditi Nair, chief economist, ICRA, said the provisional data indicated that the Centre’s fiscal deficit was slightly lower than the revised estimate for FY22, benefiting from higher tax and non-tax revenue receipts and lower capital expenditure, which The losses were absorbed in non. – Debt capital receipts and higher revenue expenditure.
On the FY2013 outlook, it said there were several risks to the fiscal deficit target of Rs 16.6 lakh crore, arising out of revenue loss to the Center due to cuts in excise duty, less than budgeted transfer of RBI’s surplus, and food throughout the year. , need to spend extra on fertilizers and LPG subsidy.
For the last financial year, the government had initially pegged the fiscal deficit at 6.8% of GDP in the budget presented in February 2021.
The government had projected a higher fiscal deficit of 6.9% of GDP, or ₹15,91,089 crore, for the fiscal year ended March, at 6.9% of GDP, in the revised estimates in the Budget for FY13.