The Ministry of Finance has shown an unprecedented growth in India’s Direct Tax collections for the Financial Year ( FY ) 2023-24 where the Gross Direct Tax Collections surged by 18.74%.
The provisional figures reveal a remarkable surge in Gross Direct Tax collections, totaling Rs. 22,27,067 crore for FY 2023-24. This marks an impressive growth of 18.74% compared to the previous fiscal year.
Equally notable is the Net Direct Tax collections for FY 2023-24, standing at Rs. 18,90,259 crore, showcasing a substantial growth of over 19.88% from the corresponding period in FY 2022-23.
Advance Tax Collections Soar by 22.31%
Advance Tax collections have soared to Rs. 9,11,534 crore, reflecting a commendable growth rate of 22.31% compared to the previous fiscal year. This surge indicates heightened economic activity and improved tax compliance.
Refunds Issued Mark 12.74% Increase
The fiscal year 2023-24 has also seen a significant increase in refunds, with Rs. 3,36,808 crore issued as of March 17, 2024. This represents a noteworthy increase of 12.74% over the refunds issued during the same period in FY 2022-23.
Breakdown of Tax Collections
The breakdown of collections includes Corporation Tax ( CIT ) at Rs. 10,98,183 crore and Personal Income Tax ( PIT ) including Securities Transaction Tax ( STT ) at Rs. 11,25,228 crore within the Gross collection figure. Meanwhile, the Net collection comprises CIT at Rs. 9,14,469 crore and PIT including STT at Rs. 9,72,224 crore.
Minor head wise collections highlight Advance Tax at Rs. 9,11,534 crore, Tax Deducted at Source ( TDS ) at Rs. 10,44,511 crore, Self-Assessment Tax at Rs. 1,73,296 crore, Regular Assessment Tax at Rs. 73,548 crore, and Tax under other minor heads at Rs. 24,177 crore.
Positive Economic Momentum
The surge in Direct Tax collections, both Gross and Net, along with the substantial growth in Advance Tax collections and refunds issued, indicates a positive economic momentum for India during FY 2023-24 which is expected to be extended to . These figures reflect not only increased economic activity but also improved tax compliance, contributing to the nation’s fiscal strength and stability.
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