Can government meet revenue mobilisation target

With only two months remaining, the government is still optimistic that it could meet the revenue target for the current fiscal year.
"The government has been able to mobilise Rs 190.08 billion against the targhet of Rs 192 billion — by the end of Baishakh (mid-May) — which is 19.6 per cent increment compared
to the same month of the last fiscal year," according to finance secretary Krishnahari Baskota.
By the end of the ninth month — Chaitra (mid-April) — the government had been able to mobilise Rs 172.09 billion, which was only 18.1 per cent increment compared to the same month of the last fiscal year, he said, adding that the growth rate is increasing for the tenth month.
Though, the month-on-month increment looks encouraging, the tenth month period's increment tells the different story. The revenue mobilisation has seen only a marginal increment by the end of the tenth month of the current fiscal year as the government has been able to mobilise only 17.9 per cent increase in revenue in an average by the end of tenth month of the current fiscal year compared to the same period of last fiscal year.
By the end of nine months, the average revenue mobilisation increment stood at 17.71 per cent compared to the same period of the last fiscal year.
Had the government been able to mobilise over 20 per cent every month, it could have met the overall revenue mobilisation target, which now seems a far cry as the government must mobilise around Rs 57 billion in the remaining two months of the current fiscal year to meet the target of Rs 241.77 billion for the current fiscal year. Though, the revenue mobilisation seemed looking up giving the government a confidence that it could meet the revenue target for the current fiscal year — unlike the last fiscal year, when it could not meet the target — the series of strikes across the country has worried the government.
"The recent strikes and bandhs across the country might slowdown the revenue mobilisation," the finance secretary said, adding that the Value Added Tax (VAT), Income tax and Customs exceeded the target, whereas excise, registration fee, vehicle tax, and non-tax failed to meet the target putting pressure on the total revenue mobilisation target.
In the last fiscal year, the government had been able to mobilise Rs 200.55 billion revenue, which was only 92.57 per cent of its target of Rs 216.64 billion. Last fiscal year customs, VAT, excise, vehicle tax, registration fee tax and education tax could not meet the target, whereas the income tax had exceeded the target.

Revenue mobilisation
Shrawan — 14.1 per cent
Bhadra — 15.8 per cent
Ashwin — 16.8 per cent
Kartik — 16.9 per cent
Mangsir — 19.4 per cent
Poush — 21.6 per cent
Magh — 19.3 per cent
Falgun — 17.4 per cent
Chaitra — 18.1 per cent
Baishakh — 19.6 per cent
(Figures compared to the same month of last fiscal year. Source: Finance Ministry)

Revenue mobilisation
Shrawan — Rs 15.1 billion
Bhadra — Rs 29.4 billion
Ashwin — Rs 43.83 billion
Kartik — Rs 59.92 billion
Mangsir — Rs 77.7 billion
Poush — Rs 111.03 billion
Magh — Rs 128.47 billion
Falgun — Rs 144.47 billion
Chaitra — Rs 172.09 billion
Baishakh — Rs 190.08 billion
(Figures by the end tenth month of the current
fiscal year. Source: Finance Ministry)

Sectoral mobilisation
VAT — Rs 59.40 billion
Income tax — Rs 39.35 billion
Customs — Rs 33.81 billion
Non-tax — Rs 27.28 billion
Excise — Rs 23.97 billion
Vehicle tax — Rs 3.18 billion
Registration fee — Rs 3.09 billion
(Figures by the end tenth month of the current fiscal year. Source: Finance Ministry)