Even as the Sixth Pay Commission deliberates performance-linked incentives for government employees, Finance Minister P Chidambaram has sanctioned a reward package for his tax collectors.

As many as 8,000 income tax officers, as well as an unspecified number of excise and customs officials, will soon receive laptop computers with data communication cards.

In addition, revenue department staff across the country will also be given Rs 500 per month for mobile phone bill payments.

Besides this, all eligible staff in the country's revenue administration will get mid-career training at premier management and policy training institutes.

The reason for the largesse, a first in the revenue department, is on account of direct and indirect tax collections exceeding the target (Budget estimate) for 2006-07. Total revenue collections stood at Rs 470,987 crore (Rs 4,709.87 billion) for the year, against the targeted Rs 439,952 crore (Rs 4399.52 billion).

Direct tax collections were Rs 19,500 crore (Rs 195 billion) higher than the target of Rs 2,10,500 crore (Rs 2,105 billion) for the year, while indirect tax collections were higher by Rs 11,363 crore (Rs 113.63 billion) than the target of Rs 2,29,533 crore (Rs 2,295.33 billion) in 2006-07. Overall, actual collections exceeded the 2006-07 Budget estimates by 6.8 per cent.

Chidambaram had promised to give one per cent of the excess tax collected over the Budget estimate for 2006-07 to the Central Board of Direct Taxes and the Central Board of Excise and Customs.

The funds are to be used for improvement of infrastructure and skills as well as for employee welfare. Accordingly, CBDT officials have been granted Rs 195 crore (Rs 1.95 billion), while the CBEC has got Rs 113 crore (Rs 1.13 billion).

Officials feel the laptop computers will add to their productivity and efficiency, especially in the field formations spread across the country, where most existing computers are not connected to the Internet on account of security protocols.

Around 3,000 individuals, who serve tax notices on defaulters on behalf of the CBDT, will also be given 15 litres of petrol every month as an added incentive.

"A four- to six-week mid-career training programme, likely to be run at the Indian Institutes of Management and other fiscal and policy institutes, will be offered to various grades of staff including income tax officers and tax inspectors. Stenographers will also get better computer training", officials added. There are about 61,000 employees in the CBDT.

Going by the growth rate of over 40 per cent so far, the CBDT can look forward to more rewards for 2007-08, as direct tax collections are likely to exceed the target of Rs 267,490 by 14.9 per cent (Rs 40,000 crore or Rs 400 billion) for the full year. At an incentive of one per cent, CBDT can expect to be richer by Rs 400 crore (Rs 4 billion).