Direct tax collections up by 18.7%

Direct tax collections for fiscal year 2017-2018 show a growth rate of 18.7 percent, up to January 15, the Finance Ministry has revealed.

"The provisional figures of direct tax collections up to January 15, show that the net collections are at Rs. 6.89 lakh crore which is 18.7 percent higher than the net collections for the corresponding period of last year," a notification from Ministry of Finance stated.

The net direct tax collections represent 70.3 percent of the total budget estimates of direct taxes for F.Y. 2017-18 (Rs. 9.8 lakh crore).

Further, gross collections (before adjusting for refunds) have increased by 13.5 percent to Rs. 8.11 lakh crore during April, 2017 to January 15 2018.

The finance ministry also revealed that refunds amounting to Rs.1.22 lakh crore have been issued during April 2017 to January 15.

There has been consistent and significant improvement in the position of direct tax collections during the current fiscal across all parameters.

The growth rate of total gross direct tax collections has improved from 10.0 percent in Q1, to 10.3 percent in Q2, to 12.6 percent in Q3 and to 13.5 percent as on January 15.

Similarly, the growth rate of total net direct tax collections has climbed up from 14.8 percent in Q1, to 15.8 percent in Q2, to 18.2 percent in Q3 and to 18.7 percent as on January 15.

The growth has been particularly good in the collections under Corporate Income Tax (CIT).

Gross CIT collections, which were growing at the rate of 4.8 percent in Q1, attained a growth rate of 5.1 percent in Q2, 10.1 percent in Q3 and 11.4 percent.

Similarly, the growth rate of net CIT collections increased from 10.8 percent in Q2, to 17.4 percent in Q3 and to 18.2 percent as on January 15.