Department of Excise Entertainment & Luxury Tax Govt. of Delhi : Revenue is the most important input for an able, efficient and resourceful administration. In India since ancient times, there has been a well planned, well defined, clear, strong and just system of revenue collection. With the passage of time there have been changes in the system of revenue collection. Today we find various tax free items, which were earlier used to be taxed. According to the needs of changing times and a big gap between sources of livelihood and the resources, new sources of revenue have also been developed. To provide a self reliant administration for a welfare state, making efforts for developing new sources of revenue while plugging loopholes in the existing ones is an increasing necessity.