A White Paper highlights a significant decline in Tamil Nadu's own-tax revenue over the last five years, with the SOTR-to-GSDP ratio falling from 5.93% to 5.45%, marking the lowest in the State's history.
Tamil Nadu's Own-Tax Revenue Declines to Historic Low: White Paper
A White Paper highlights a significant decline in Tamil Nadu's own-tax revenue over the last five years, with the SOTR-to-GSDP ratio falling from 5.93% to 5.45%, marking the lowest in the State's history.
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A report highlights Tamil Nadu's declining own-tax revenue · NewsDarpan AI
A White Paper has revealed a sharp decline in Tamil Nadu's own-tax revenue over the past five years. The report compares Tamil Nadu's performance with three 'peer States' and notes that the State's SOTR-to-GSDP (State's Own Tax Revenue to Gross State Domestic Product) ratio dropped from 5.93% to 5.45%. This represents the lowest ratio in Tamil Nadu's history and the steepest decline among the benchmarked States.
The findings raise concerns about the State's fiscal health, as the SOTR-to-GSDP ratio is a key indicator of a State's ability to generate revenue through its own taxes. The report does not elaborate on the reasons behind the decline but emphasizes its significance in comparison to other States.
The White Paper underscores the need for corrective measures to address the declining trend and improve Tamil Nadu's tax revenue performance.
Key Points
- Tamil Nadu's SOTR-to-GSDP ratio declined from 5.93% to 5.45% over five years.
- This marks the lowest ratio in the State's history.
- The decline is described as the steepest among three 'peer States'.
- The report highlights concerns about the State's fiscal health.
- No reasons for the decline are provided in the White Paper.