The Ministry of Finance announced Wednesday that China's fiscal revenue in July rose 10.2 percent year on year to 669.59 billion yuan (97.96 billion U.S. dollars).
The July figure brought total fiscal revenue in the first seven months to 4.067 trillion yuan, down 0.5 percent year on year, the ministry said.
Fiscal revenue has been on the rebound since May, when 4.8 percent annual growth was registered. In the first four months, the figure fell 9.9 percent year on year.
The rebound in fiscal revenue growth was mainly because of an improvement in the country's economy, rising business taxes and increased cigarette tax.
An Tifu, professor with the School of Finance of the Renmin University of China, said the rebound reflected the picking-up of the economy and authorities' efforts to step up tax collection during a tough time.
However, the figure for the first seven months declined on a year-on-year basis, which the ministry attributed to weak business profits, tax cuts and rising export rebates amid the economic slowdown.
Fiscal expenditure in July rose 9.3 percent from a year earlier to 498.57 billion yuan. In the first seven months fiscal expenditure climbed 23.5 percent to 3.389 trillion yuan.
The government unveiled a 4-trillion-yuan stimulus package in November last year to be spent over the next two years to shore up the economy, with 1.18 trillion yuan coming from the central budget.
From January to July, 110.3 billion yuan was spent on farming, forestry and fishing sectors, up 59.4 percent year on year; 22.2 billion yuan on environmental protection, up 55.9 percent; and 57.84 billion yuan on transportation, up 50.8 percent.
China was facing great fiscal pressures, despite three months of increases, the ministry said. The global economic downturn resulted in falling business profits in China, which reduced fiscal revenue，while the government had had to ramp up spending to stimulate growth.