Jharkhand state raises only 47% of own revenue, CAG finds

It covered performance and compliance audits of the Commercial Taxes, Transport, Excise and Prohibition, and Revenue, Registration and Land Reforms departments.

Who it concerns: Government of Jharkhand (specifically the Commercial Taxes Department, Transport Department, Excise and Prohibition Department, and Revenue, Registration and Land Reforms Department)

What the auditor found

• Total revenue arrears as of March 31, 2023, amounted to ₹7,767.37 crore.
• ₹6,467.08 crore of the total arrears had been outstanding for more than five years.
• The audit identified non-collection or short levy of taxes from transport vehicles, including one-time tax, Green Tax, and penalties.
• The audit noted non-realization of differential excise duty and short lifting of liquor without levy of late fees.
• The audit found mismatches in taxable turnover between Income Tax Returns and GST returns, as well as inadmissible exemptions availed under GST.
• The audit observed short levy of establishment costs in the Land Revenue sector.

Also in the document

• CAG reported that 53% of the State Government's total receipts in 2022-23 came from the Government of India, with the State raising only 47% of its own revenue.
• CAG noted that specific action regarding the recovery of ₹306.18 crore in Land Revenue arrears had not been intimated as of March 2026.
• CAG found that departments did not furnish reasons for variations in non-tax revenue despite several requests.