The 2011 MTBPS indicates that in the 2007/08 financial year, gross revenue tax increased by 15.6 per cent, reflecting strong economic conditions. This rate of increase slowed during the 2008/09 financial year to 9.1 per cent. Following the recession in 2009, gross tax revenue declined by 4.2 per cent. This highlighted the fact that tax revenue responds to changes in the economic cycle. A sharp fall in Corporate Income Tax (CIT), Value Added Tax (VAT), Secondary Tax on Companies (STC) and customs duty revenue led to this decline. However, the conditions improved during the 2010/11 financial year, whereby nominal gross tax revenue grew by 12.6 per cent on a year-on- year comparison basis -with significant increases in Personal Income Tax (PIT), VAT and, customs duty and fuel levy revenues.