Net direct tax collections grow 18% to Rs 16.61 trn in FY23, exceeding RE

Net direct tax collections rose by 18 per cent to Rs 16.61 trillion in the 2022-23 fiscal, exceeding the revised estimates (RE).

The gross collection of direct taxes (before adjusting for refunds) for 2022-23 stands at Rs 19.68 trillion, a growth of 20.33 per cent over the gross collection of Rs 16.36 trillion in FY2021-22, the finance ministry said.

The provisional figures of direct tax collections for the financial year (FY) 2022-23 show that net collections are at Rs 16.61 trillion, compared to Rs 14.12 trillion in the preceding FY 2021-22, representing an increase of 17.63 per cent, the ministry said in a statement.

The Budget Estimates (BE) for direct tax revenue in the Union Budget for 2022-23 were fixed at Rs 14.20 trillion, and the Revised Estimates (RE) were pegged higher at Rs 16.50 trillion.

The net direct tax collections, which include taxes from individuals and corporations, have exceeded the BE by 16.97 per cent and RE by 0.69 per cent, the ministry added.

Refunds worth over Rs 3.07 trillion were issued in 2022-23, which ended on March 31.