Finance secretary Subhash Chandra Garg (Mint)
Finance secretary Subhash Chandra Garg (Mint)

Govt close to meeting fiscal deficit target of 3.4%, says finance secretary

  • The govt in the interim Budget revised upward the fiscal deficit target to 3.4% from 3.3% of GDP estimated earlier for the financial year ended 31 March
  • Direct tax collection was revised upward to 12 trillion

New Delhi: Finance secretary Subhash Chandra Garg on Thursday said the government is close to meeting fiscal deficit target of 3.4% for 2018-19.

The government in the interim Budget in February revised upward the fiscal deficit target to 3.4% from 3.3% of GDP estimated earlier for the financial year ended March 31.

"We are very close to meeting (fiscal deficit)," he said when asked whether the government has met fiscal deficit target for 2018-19.

"Some numbers are still to come. So, we will wait for a couple of days. There will always be some shortfall but sum and substance of that is what is the net impact on the deficit," he said on the sidelines of the CII event here.

The government at many occasions had indicated that there might be some shortfall on indirect taxes collection side during 2018-19 but not on direct tax front.

Direct tax collection was revised upward to 12 trillion. The government had originally budgeted to collect 11.50 trillion in 2018-19 from direct taxes, which included corporate tax and personal income tax.

Likewise, in 2018-19, GST collection is pegged at 6.43 trillion (revised estimate), which is lower than the targeted 7.43 trillion (budget estimate).

On the indirect tax front, customs collection in 2018-19 is pegged at 1.30 trillion.

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