The cast-strapped Government's efforts to raise revenue in recent times have failed due to recession.

While drafting the budgetary proposals for the current financial year, the Government had estimated Rs 10,000 crore from sales tax, Rs 1800 crore from stamp duty and Rs 1700 crore from excise duty. ``From the available figures, we do not think that we will be able to achieve the target,'' an official pointed out.

He said since there is overall slump in the real estate sector, the payment of stamp duty has come to a grinding halt, while in view of the poor turnover in the production sector, there is less payment of sales taxand excise duty. ``Our experience is that after Diwali, there is marked improvement in payment of sales tax as well as excise duty, but at the moment, the response is very cold. We are lagging behind by a notable margin. Last year, our performance was much better and we were ahead of the target,'' he added.

Even on excise duty, which mainly comes from the liquor industry, the department is unlikely to achieve the target owing to drastic revision in the duty. ``We are charging on the basis of maximum retail price. In addition, we are also charging additional sales tax per peg and now, we are again planning to impose tax on sales across the counter. We feel that it will have an adverse impact and we will miss the target,'' the official pointed out.

The Government had on November 17 hiked sales tax on petrol from 21 per cent to 25 and on diesel from 21 to 23 per cent to mobilise Rs 200 crore. The reason cited was that taxes in the neighbouring states were much higher compared to Maharashtra and that since1995, the alliance Government had not resorted to any hike on sales tax on petrol and diesel.

Similarly, the Cabinet also approved a levy of 4 per cent sales tax on exercise books brought in Maharashtra to garner Rs 20 crore. Earlier, such exercise books were exempt from payment of sales tax.

According to a reliable source, the Government will soon have to take hard decisions to take the state out of red. ``Next year, as the Assembly elections will be round the corner, it will not be possible for the Manohar Joshi Government to take unpopular decisions,'' he said.

While drafting the budgetary proposals for the current financial year, the Government had estimated Rs 10,000 crore from sales tax, Rs 1800 crore from stamp duty and Rs 1700 crore from excise duty. ``From the available figures, we do not think that we will be able to achieve the target,'' the source pointed out.

Meanwhile, the Government's populist efforts, notwithstanding severe financial crunch, have drawn flak from bureaucrats. ``Whilethere is a move to make a provision of Rs 800 crore to provide free power to farmers, the Cabinet has taken a decision to grant concessions worth Rs 80 crore in payment of premium for additional Floor Space Index to five star hotels,'' a senior bureaucrat said.