8.1.19

Direct tax mop-up rose 14%: April-December

The government said that direct tax collections rose over 14% to Rs.8.7 lakh crore during April-December, despite a spurt in refunds. The growth in net tax collections was on account of an all-round rise although corporation tax mop up increased at a faster clip of 16%, compared to a 14.8% expansion in the personal income tax kitty, the Central Board of Direct Taxes has said in a statement.

Tax officials said that they were confident of meeting the budget target, with finance ministry mandarins banking on higher direct tax collections to offset the shortfall in GST collections. “It is pertinent to mention that collections of the corresponding period of financial year 2017-18 also included extraordinary collections under the Income Declaration Scheme (IDS), 2016 amounting to Rs.10,844 crore (third and last instalment of IDS), which do not form part of the current year’s collections,” the tax department said.

The trend of robust collections was also seen in case of advance tax receipts, which went up 14.5% to Rs.3.6 lakh crore. The growth rate of corporate advance tax was estimated at 12.5% and that of personal income advance tax at 23.8%. The Centre has maintained that tax filings have also increased this year as individuals have been forced to disclose their income.

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