The Government of India’s net direct tax collection increased by 15.4 percent to Rs 12.1 trillion ($143 billion) compared to last year. Giving information about the collection during the period from April 1 to November 10, the Income Tax Department said that direct taxes, which include corporate and personal taxes, increased by more than 21 percent on a gross basis during this period to Rs 15 trillion. The Income Tax Department also said that it has issued tax refunds worth Rs 2.9 trillion (Rs 2.92 lakh crore). There is a jump of 53 percent on annual basis.
Direct tax budget in the current financial year
According to the news, direct tax collection includes net corporate tax of Rs 5.10 lakh crore and non-corporate tax of Rs 6.62 lakh crore. Other taxes worth Rs 35,923 crore were collected. The government has set a budget to collect Rs 22.12 lakh crore from direct taxes in the current financial year, which is 13 percent more than the previous financial year.
Direct tax is a type of fee, which is imposed directly on the taxpayer and the person on whom it is imposed pays it directly to the government. Direct tax is one which the taxpayer cannot impose on anyone else.
182% direct tax collection in 10 years
Direct tax collection has increased by 182 percent during the 10-year tenure of the government led by Prime Minister Narendra Modi. Personal income tax collection has almost quadrupled to Rs 10.45 lakh crore in the financial year 2023-24. In 2014-15, the first year of Modi government, direct tax collection was around Rs 6.96 lakh crore. This included about Rs 4.29 lakh crore corporate tax and Rs 2.66 lakh crore personal income tax. The number of income tax returns (including revised returns) filed increased from 4.04 crore in FY 2014-15 to over 8.61 crore in 2023-24.
