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Net direct tax collection in India grew to Rs 14.70 lakh crore

New Delhi: The net direct tax collection  in India grew 19.41% to Rs 14.70 lakh crore so far in the current financial year 2023-24. As per Income Tax Department, the net direct tax collection   has reached about 81% of the full-year target.

Earlier, the Union government has decided to collect Rs 18.23 lakh crore from direct taxes (personal income tax and corporate tax). This is 9.75%  higher than the total tax collected in last fiscal. In last fiscal year, Rs 16.61 lakh crore was collected as net direct tax.

‘Direct Tax collection, net of refunds, stands at Rs 14.70 lakh crore which is 19.41 per cent higher than the net collection for the corresponding period of last year. This collection is 80.61 per cent of the total Budget Estimates of Direct Taxes for FY 2023-24,’ the Central Board of Direct Taxes (CBDT) said in a statement.

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Refunds amounting to Rs 2.48 lakh crore have been issued during April 1, 2023 to January 10, 2024.The gross tax collection  are at Rs 17.18 lakh crore, 16.77% higher than the gross collection for the corresponding period of last year.

The growth rate in gross Corporate Income Tax (CIT) and Personal Income Tax (PIT) is 8.32 per cent and 26.11 per cent respectively. After adjustment of refunds, the net growth in CIT collections is 12.37 per cent and that in PIT collections is 27.26 per cent.

Direct taxes are collected from individuals and companies by the supreme tax body in the country. Direct taxes are directly paid by the tax payers. Direct taxes include personal income tax (PIT) and corporate income tax (CIT), besides taxes such as securities transaction tax (STT).  Indirect tax is not paid directly by a person to the government. The net direct tax collection  means the gross tax  collection minus the refund.

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