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Revenue

In: Business and Management

Submitted By lobzanima
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Introduction and overall performance
Revenue is a term primarily used in the United States to describe the amount of money a company generates in a set period of time through the sale of products and/or services. Businesses often break revenue down by operating segment, department, geographic location and/or product/service line, among others. In government, revenue is derived from taxes, liens, licenses and other fees. Non-profit organizations broaden revenue classification to include donations, grants and barters.

As stated above, the revenue for government of Bhutan is generated from two broad categories tax and non tax revenue. The tax revenue constitutes the revenue generated from direct and indirect tax. Direct tax includes corporate income tax, business income tax, personal income tax, health contribution and royalties and rural tax; whereas indirect tax includes Bhutan sales tax, export tax, excise duty, Motor vehicle tax, import duty, business and professional license and other tax revenue. The non tax revenue includes administrative fees and charges, capital revenue, revenue from government department, dividends, transfer of profits and other non tax revenue. The revenue for the Government of Bhutan is collected by Department of Revenue and Custom every year. Following table shows the summary of revenue generated for the past ten years.

Table 1.1 Summary of revenue generated by RGoB. (Amounts in Millions of Ngultrum’s)

|Fiscal Year |Direct Tax (Nu.) |Indirect tax (Nu.) |Non-tax revenue (Nu.) |Total revenue (Nu.) |
|2000-2001 |1524.651 |667.521 |2479.346 |4671.518 |
|2001-2002 |1626.109 |1049.445 |2424.472

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