The boom in economy is showing results in the direct tax collections. The Mumbai circle of income tax (I-T) department has collected Rs 44,293 crore in direct taxes so far in this financial year.
Talking to HT Chief Commissioner of Income Tax, Mumbai circle, K Venkataramani attributes the jump to the growth in economy besides the enforcement activities by the department like surveys and inspections. He also said that the banking, oil, engineering and construction sectors did well.
The GDP growth rate is currently 9.1 per cent.
A statement issued by Venkataramani said that the collection this financial year is a huge 58.7 per cent jump as compared to the tax collected for the same period in last year. The last financial year had seen tax collection of Rs 27,908 crore which is Rs 16,385 crore less as compared to this year's collection.
Moreover, the collection so far shows that the Mumbai circle should not have any problem to achieve their target of Rs 69,000 crore, for current financial year.
The department had failed to reach the target last financial year. The department had fallen short by Rs 4,000 crore last year. The target last year was Rs 57,000 crore.
A senior I-T officer said that the jump in tax collection in Mumbai is also more than the growth on all India level. The all India tax collection has gone up by 42 per cent this financial year. The all India direct tax collection was slightly over Rs one lakh crore till November end. Moreover, the tax collection in Mumbai so far is about 44 per cent of the all India collection.
The statement further showed a huge jump in corporate tax collection. The collection under this segment, in this financial year, was Rs 28,976 crore which is Rs 12,376 crore more as compared to last year collection. The corporate collection in the last financial year for the same period was Rs 16,600 crore.
The income tax collection has also seen a growth as compared to last year. The collection under this head was Rs 11,431 crore. The comparative figure in last year was Rs 8,978 crore. Further to this Rs 3,885 crore came in the form of other taxes.
Besides this, the number of I-T returns received by the department till November end has also gone up. This year, the department in Mumbai has received over 16.35 lakh returns. Last year till November end, the department had received 15.91 lakh returns.
Moreover, the department is making attempts to issue refunds within four months of the last date of filing returns. This financial year, till November end refunds were issued in more than 1.5 lakh cases. Last year for the same period refunds were issued in over 1.3 lakh cases.
The department further collected Rs 148.65 crore from 125 surveys that were conducted from April 1, 2006 to November end.