Union finance ministry on Friday reported 30% annualised growth in the gross direct tax revenue at ₹8.36 lakh crore as on September 17 of the current financial year with significant jumps in corporate and personal tax collections signifying a robust economic recovery, improved compliance and better tax administration.
“Direct tax collections continue to grow at a robust pace, a clear indicator of the revival of economic activity post pandemic, as also the result of the stable policies of the government, focusing on simplification and streamlining of processes and plugging of tax leakage through effective use of technology,” the ministry said in a statement on Sunday.
The jump in gross direct tax receipts is, however, marginally lower than the 35.46% annualised revenue growth at ₹6.48 lakh crore as on September 8 of the current financial year, HT reported it on September 9.
The direct tax collection data for 2022-23 (as on September 17) show that net collections, after refunds, jumped 23% at ₹7,00,669 crore compared to ₹5,68,147 crore in the corresponding period of the previous financial year, the ministry said. The net collections include corporation income tax (CIT) at ₹3,68,484 crore and personal income tax (PIT), inclusive of securities transaction tax (STT) at ₹3,30,490 crore. However, as on September 8, the net direct tax collection was ₹5.29 lakh crore, which was 30.17% higher than the net collections for the corresponding period of last year.
The gross collections of ₹8,36,225 crore, includes CIT at ₹4,36,020 crore and PIT, including STT at ₹3,98,440 crore, the statement said. “Minor head wise collection comprises Advance Tax of ₹2,95,308 crore; Tax Deducted at Source of ₹4,34,740 crore; Self-Assessment Tax of ₹77,164 crore; Regular Assessment Tax of Rs. 20,080 crore; and Tax under other minor heads of Rs. 8,933 crore,” it added.
{{/usCountry}}The gross collections of ₹8,36,225 crore, includes CIT at ₹4,36,020 crore and PIT, including STT at ₹3,98,440 crore, the statement said. “Minor head wise collection comprises Advance Tax of ₹2,95,308 crore; Tax Deducted at Source of ₹4,34,740 crore; Self-Assessment Tax of ₹77,164 crore; Regular Assessment Tax of Rs. 20,080 crore; and Tax under other minor heads of Rs. 8,933 crore,” it added.
{{/usCountry}}The cumulative advance tax collections for the first and second quarter of 2022-23 stand at ₹2,95,308 crore as on September 17, against advance tax collections of ₹2,52,077 crore for the corresponding period of the immediately preceding 2021-22, showing a growth of 17%, it said. The advance tax collection of Rs. 2,95,308 crore comprises CIT at ₹2,29,132 crore and PIT at ₹66,176 crore, it added.
“There has been a remarkable increase in the speed of processing of income tax returns filed during the current fiscal, with almost 93% of the duly verified ITRs [income-tax returns] having been processed till 17.09.2022. This has resulted in faster issue of refunds with almost a 468% increase in the number of refunds issued in the current financial year,” it said.
Refunds amounting to ₹1,35,556 crore have been issued in 2022-23 till September 17 as against refunds of ₹74,140 crore issued during the corresponding period in the preceding financial year, showing a growth of over 83%.