I-T returns show increase in income, investment gains
In what could indicate rising income of Indians and increasing investments resulting in short-term capital gain, number of people earning above Rs.10 lakh to Rs.50 lakh annually have gone up by 60%. Manish Pachouly reports.mumbai Updated: Feb 17, 2013 01:20 IST
In what could indicate rising income of Indians and increasing investments resulting in short-term capital gain, number of people earning above Rs.10 lakh to Rs.50 lakh annually have gone up by 60%.
The growth came to light when the electronic income tax returns filed by taxpayers in 2012-2013 were compared to the previous financial year.
Figures show that 5,77,869 additional income tax (I-T) returns were filed online in Rs.10 lakh to Rs.50 lakh category.
Not only this, the number of those earning above Rs.50 lakh to Rs.one crore has also gone up by 19.3%.
Besides, those earning over Rs.1 crore have increased by 11.3%.
In 2012-2013, the number of e-returns filed in this income category was 83,212, which are 8,504 more returns as compared to the previous year.
Financial experts say that the growth in the high income bracket also assumes importance, as the number of I-T returns – 2 (ITR-2) and 4 (ITR-4), that are applicable to those who have business income or any other kind of income besides salary, filed in the current financial year are less as compared to the previous year.
In the current financial year, a little over 16.89 lakh ITR-2 were filed, which during the previous year was 18.22 lakh. Similarly, ITR-4 filed this financial year was 54.44 lakh while the number during previous year was 69.57 lakh.
Chartered accountant Naresh Dharia attributed this to growth in incomes of Indians.
"Additionally people have started understanding that they need sure income from investments, which is pushing their income," Dharia said adding that a large number of people are also earning short-term capital gain by way of investment.
Financial planner Vishal Dhawan believes that people might have earned through short-term capital gain especially while dealing in property.
“There is an increase in capital gains booked on transaction. The number of real estate sale transactions have increased as property prices have gone up,” Dhawan said.