PESHAWAR, Sept 18: Despite missing the agriculture income tax target for 2001-02, the NWFP government has committed 34.7 per cent growth in this tax during the next three fiscal years, according to sources.

Against the annual target of Rs50m under both the components of the agriculture income tax and land tax for 2001-02 the provincial government ended up with total collections of Rs45.87m, missing the target by over Rs9m.

However, in its medium term budgetary framework (MTBF), submitted to the World Bank to qualify for the multi-million dollar loan, the military backed provincial government, which would be replaced by the new set-up following the Oct 10 polls, has committed the record growth in its farm tax revenue during the next three financial years.

According to the plan, the revenue under this head would go up by over 8 per cent in the 2003-04 to Rs55 million, by 13 per cent in the 2004-05 to Rs60 million and by another 13.7 per cent in the 2005-06 to Rs69 million.

In the fourth and final year of the MTBF, i.e. 2005-06 financial year, the recovery target under this important provincial own receipts is set at Rs80 million.

The land tax and agriculture income tax ordinance 2001, has apparently led to shrinking the provincial revenue because it had certain incentives for the landlords.

The province raised Rs45.8m in the 2001-02 financial year and Rs27m in 2000-01 financial year — the first two years of the operations of the land tax and agriculture income tax introduced by the military government.

Whereas, under land based agriculture income tax the province had earned Rs74m in 1999-2000, Rs46.8m in 1998-99 financial year and Rs41.3m in 1997-98.