.jpg?downsize=773:435 "India’s Direct Tax Mop-Up At 67% Of Budget Aim Till December")
Direct tax collections rose 18 percent year-on-year up to December in the current financial year. With a mop-up of Rs 6.56 lakh crore in the first nine months of 2017-18, the government has been able to achieve 67 percent of its Budget target of Rs 9.8 lakh crore so far, according to a Central Board of Direct Taxes release issued today.
In the April-December period of 2016, the government had collected Rs 5.53 lakh crore in net direct taxes, about 65 percent of that financial year's annual target.
The increase in collections could be attributed to the taxman's efforts to collect pending arrears, Shefali Goradia, partner at Deloitte India told BloombergQuint. “In December 2017, the CBDT had issued instructions to step up efforts in tax collection by pursuing tax arrears and expediting even non-time barring cases where there was a possibility of raising tax demand. Increase in the tax collection may be in response to this initiative,” she said.
Gross tax collected by the government before adjusting for refunds during the same period was Rs 7.68 lakh crore, about 7.7 percent higher than last year. Refunds of Rs 1.12 lakh crore were issued between April and December.
Growth in advance tax for corporate income tax is 10.9 percent, while in personal income tax is 21.6 percent, as compared to previous year.
Direct tax mop-up stood at Rs 6.49 lakh crore as on Dec. 18, according to a reply given by Minister of State for Finance Shiv Pratap Shukla in Parliament.
Of this, Rs 3.72 lakh crore was by way of corporate tax, while Rs 2.65 lakh crore was in personal income tax. The collection also included payment of installments through government's voluntary tax disclosure schemes—Income Disclosure Scheme and Pradhan Mantri Garib Kalyan Yojana—of Rs 11,288 crore.
Also Read: Government Collects Rs 80,808 Crore From GST In November
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