The gross collection of tax on corporate and individual earnings jumped to Rs 10.54 lakh crore in the current fiscal year so far. This is nearly 31 per cent higher than the gross collections for the corresponding period of last year, the tax department said on Friday. This includes a 41 per cent growth in personal income tax (including Securities Transaction Tax) mop-up and a 22 per cent increase in corporate tax revenues over the same period last year.
The department said that the net direct tax collected between April 1 to November 10 stood at Rs 8.71 lakh crore, after refund adjustments. This is 62 per cent of the Budget estimates (BE) for the full-year tax collection target. Refunds amounting to Rs.1.83 lakh crore have been issued from April 1, 2022 to November 10, 2022, which are 61.07 per cent higher than refunds issued during the same period in the preceding year.
After adjusting for refunds, net direct tax collection stood at Rs 8.71 lakh crore, 25.71 per cent higher than the net collections for the corresponding period of last year.
The Budget estimate for direct tax collection in the fiscal year 2022-23 was Rs 14.20 lakh crore, higher than Rs 14.10 lakh crore collected last fiscal year. Direct taxes are a collection of taxes on corporate and individual income.
According to the statement by the I-T department, “Direct Tax collections up to 10th November, 2022 show that gross collections are at Rs. 10.54 lakh crore which is 30.69 per cent higher than the gross collections for the corresponding period of last year.”
Collection from goods and services sold (GST) has flattened at around Rs 1.45-1.50 lakh crore per month. For a country, tax collection is an indicator of economic activity.