In a big boost to the state’s exchequer, Tamil Nadu has seen its commercial tax revenue cross ₹1-lakh crore in FY22, while the registration department has collected its highest-ever revenue from stamp and registration charges during the year.
Both the revenues have surpassed revised estimates of Budget 2021-22. Commercial taxes and registration charges make up about 86 per cent of the State’s own tax revenue.
The Revised Estimates of Budget 2021-22 pegged receipts from commercial taxes at ₹91,840 crore. However, the State collected total revenue of ₹1,04,970 crore through commercial taxes, an increase of 9 per cent over FY21 revenue.
For the current fiscal, the Budget has pegged commercial tax revenues at ₹1,06,765 crore.
The Registration Department is another significant contributor of revenue to the State. Total revenue earned by the department in 2021-22 was ₹13,913.65 crore, higher than Budget 2021-22’s revised estimate of ₹13,253 crore. Chennai zone contributes about 40 per cent to the registration revenue.
FY22 revenue was the highest ever collected by the Registration Department, an increase of ₹3,270.57 crore over the revenue earned during 2020-21. The previous highest-ever revenue for the department was recorded in FY19 when it collected ₹11,071 crore.
A report by Motilal Oswal Financial Services had said that Tamil Nadu’s stamp duty and registration revenues were the third-largest, after Maharashtra and Uttar Pradesh, during the first eight months of this fiscal.
The number of documents registered in Tamil Nadu during FY22 increased by 11.26 per cent to 29,98,048 documents against 26,95,650 documents in FY21 according to the department’s Policy Note for FY23.
The State also collected ₹413 crore by way of registering marriages, chits, societies etc during FY22.
For the current year, the State Budget 2022-23 has pegged the revenue collection from registration at ₹16,322.73 crore as a revival in demand in the real estate sector is expected to drive strong growth in revenue.
Meanwhile, the State Minister for Commercial Taxes and Registration, P Moorthy, on Thursday, announced a slew of new initiatives to improve collections, customer service, upgradation of infrastructure and bifurcation of big zones for ease of operations, among others.