Government Tightens Tax Recovery Drive While Warning Against Harassment

• Strict tax recovery drive announced by state government
• Police support planned for tax dues collection
• Unclaimed bank funds targeted to boost revenue

The state government has decided to adopt a tougher approach to recover pending taxes, signalling firm action against tax evaders while cautioning officials not to harass genuine taxpayers. The decision was taken during a high level review meeting chaired by Chief Minister N. Chandrababu Naidu in Amaravati.

During the review of revenue generating departments, officials were instructed to ensure that outstanding dues are collected without fail. At the same time, the Chief Minister underlined that enforcement must remain fair and transparent, stressing that traders and businesses should not be subjected to undue pressure.

A key highlight of the meeting was the proposal to seek police assistance for recovering long pending tax arrears. Commercial Taxes Department officials made a detailed presentation, indicating that stronger enforcement mechanisms are required to prevent revenue leakage and protect the state exchequer.

The Chief Minister also directed departments such as commercial taxes, excise, stamps and registrations and municipal administration to work in close coordination to strengthen revenue inflows. He said every possible step must be taken to prevent loss of income to the treasury.

Special attention was drawn to unclaimed funds lying in bank linked PD accounts. Officials informed the Chief Minister that nearly Rs 2,434 crore remains unclaimed across more than one lakh such accounts. District collectors have been asked to complete KYC verification and ensure that eligible funds are put to proper public use.

The government is also looking at alternative revenue sources. The Chief Minister suggested monetising red sandalwood stock held by the forest department, stating that this alone could generate significant funds for the state.

Emphasising accountability, the Chief Minister warned that failure to utilise central funds would attract responsibility on concerned officials. He noted that in the upcoming financial year, the state expects central assistance of over Rs 26,000 crore under various schemes and these funds must be utilised efficiently.

Officials also briefed the Chief Minister on the state’s economic performance, pointing out that the Gross State Domestic Product has grown faster than the national average and inflation remains under control. Performance of departments will be monitored through key indicators such as revenue growth, expenditure management, project execution and quality of public services.

The review meeting was attended by Deputy Chief Minister Pawan Kalyan, Minister Nara Lokesh and senior ministers and officials, reflecting the government’s focus on tightening fiscal discipline while sustaining economic growth.