Direct tax collections in April-June rose 24.79 percent year-on-year, indicating a net revenue collection of Rs 1.24 lakh crore, according to an official statement from the finance ministry.
The tax collection figures indicate 14.63 percent of the annual budget target of direct taxes has been achieved in the first three months of the FY17 (April-March). This rise in tax collection is mainly due to the change in requirements for advance tax payment for individuals, which has been made in last year's Budget, the release said.
Earlier, individuals had to pay three installments of advance tax in September, December and March. In the current financial year, individuals are supposed to pay four advance tax installments at the rate of 15 percent in June, 30 percent in September and December, respectively, and 25 percent in March, every financial year.
The trend in gross revenue of corporation tax indicates a rise of 13.5 percent on year, however, after adjusting for refunds, the net growth in corporation tax is at 4.43 percent, the statement said.
The gross revenue of personal income tax, (including Securities Transaction Tax etc.) indicates a growth of 29.8 percent on year, which after adjustments will be 48.75 percent. This growth is primarily due to large refunds made in the previous year as compared to the current year, the official statement said.
Indirect Taxes
Total indirect tax collections in April-June surged 30.8 percent compared to last year to Rs. 1.99 lakh crore, with collections from central excise soaring 50.1 percent on year to Rs. 91,225 crore, said another government notification.
“... if we remove the Additional Resource Mobilisation (ARM) the growth rate is 10.2 percent,” said Revenue Secretary Hasmukh Adhia, in a tweet.
Collections from service tax in in the same period rose 20.8 percent on year to Rs 53,757 crore, implying that the 23.3 percent of the annual budget target has been achieved.
During the quarter, a 15.5 percent year-on-year rise to Rs 54,808 crore was witnessed in customs collections.
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