Report No.2 of 2026-The Report of the Comptroller and Auditor General of India on State Revenues for the period ended March 2024, Government of Kerala

What did the audit examine?

The audit examined state revenues for Kerala for the period ended March 2024, focusing on tax collection and revenue management across various departments including Motor Vehicles, Excise, Stamp Duty, and Forest Revenue.

Who / what it concerns

Government of Kerala

What the auditor found

• Non-levy of Green Tax during Certificate of Fitness and registration renewals: ₹2.57 crore
• Non-collection of penalties and compounding fees for vehicles with expired Certificate of Fitness: ₹23.12 crore
• Non-collection of revenue due to vehicles operating with expired Certificate of Registration: ₹24.57 crore
• Non-collection of compounding fees for vehicles without valid permits: ₹12.18 crore
• Unrecovered loss due to ENA theft in distillery: ₹51.88 crore
• Short levy of Turnover Tax due to incorrect application of tax rates: ₹1.65 crore
• Non-levy of Turnover Tax due to irregular exemption claim: ₹13.81 crore
• Short levy of Sales Tax due to incorrect tax rates: ₹3.71 crore
• Revenue loss from possible diversion of liquor: ₹5.10 crore
• Shortfall in Forest Revenue due to non-levy of revised Licence fee: ₹1.70 crore
• Short collection from Rubber Company: ₹27.40 crore

Points worth noting

• Unrecovered loss due to ENA theft in distillery: ₹51.88 crore
• Non-collection of penalties for expired vehicle certificates: ₹23.12 crore
• Non-collection of revenue from vehicles with expired registration: ₹24.57 crore