Kolkata: The tax revenue of West Bengal is projected to increase by 6.20 per cent by March 31, 2027, mainly propelled by two of the 12 components, namely State Goods and Services Tax (SGST) and state excise.
As per the Budget estimates for the financial year 2026-27, the state’s own tax revenue is slated to increase to Rs 1,18,668.78 crore, a 6.20 per cent rise over the figure of Rs 1,11,737.13 crore as per the revised estimates for 2025-26.
The SGST component, as per the budget documents for 2026-27, is slated to contribute 47.42 per cent of the total state’s own tax revenue collection during the fiscal year under review.
On the other hand, the state excise component is slated to contribute 20.39 per cent of the total state’s own tax revenue collection during 2026-27.
As per the Budget estimates for 2026-27, the SGST collection as of March 31, 2027, is slated to increase to Rs 56,279.17 crore from Rs 53,829.37 crore as of March 31, 2026, according to the revised estimates for 2025-26.
Similarly, the state excise collection by March 31, 2027, is slated to rise to Rs 24,200.74 crore as per the Budget estimates for 2026-27, from Rs 22,223.16 crore as of March 31, 2026, as per the revised estimates for 2025-26.
According to economists, while West Bengal is not the only state that depends on state excise to a substantial extent for its own tax revenue generation, such over-dependence on this particular component is not a healthy economic parameter for any state.
“This over-dependence on the state excise component happens in states with a lack of additional sources of the state’s own tax revenue generation because of the lack of big-ticket investment,” said a city-based economist.
In the case of non-tax revenue, the highest contributing component during 2026-27 will be other non-tax revenue at Rs 3,177.24 crore.
During the financial year 2026-27, grants-in-aid from the Union government are also projected to increase substantially to Rs 47,615.46 crore as per the Budget estimates for 2026-27, from Rs 22,068.85 crore as per the revised estimates for 2025-26.
(IANS)
