The primary source of revenue for the Gujarat government is sales tax. In 2020-21, sales tax accounted for 46.4% of the state’s total revenue. This was followed by income tax (24.5%), property tax (12.2%), and grants from the central government (16.9%).
Sales tax is a tax levied on the sale of goods and services. It is a major source of revenue for both the central and state governments. The Gujarat government levies sales tax on a variety of goods and services, including food, clothing, fuel, and transportation.
Income tax is a tax levied on the income of individuals and businesses. It is a major source of revenue for the central government. The Gujarat government collects income tax on behalf of the central government.
Property tax is a tax levied on the value of real estate. It is a major source of revenue for local governments. The Gujarat government collects property tax on behalf of local governments.
Grants from the central government are a major source of revenue for state governments. The central government provides grants to states for a variety of purposes, including education, health, and infrastructure.
In conclusion, the primary source of revenue for the Gujarat government is sales tax. This is followed by income tax, property tax, and grants from the central government.