India’s net direct tax collections amounted to Rs. 14,09,640.83 crore for FY 2022, which is the highest collection ever, signaling that the India economy has bounced back after two years of the pandemic, Central Board of Direct Taxes (CDBT) Chairman J.B. Mohapatra said here on Tuesday.
“As against Rs. 14.09 lakh crore this year, our collection in 2020-21 was only Rs. 9.45 lakh crore. In a single year, we moved upward by nearly Rs. 4.5 lakh crore, registering a growth of 49%,” said Mr. Hohapatra, addressing a press conference..
“The collection… is the best-ever… as far as income tax and corporation tax are concerned.”
Gross direct tax collections (before adjusting for refunds) grew 32.8% to Rs. 16,34,545.95 crore in FY 2022 compared with Rs. 12,31,270.52 crore in FY 21.
“Increase in net and gross collection numbers in a major indication of the strengthening of the Indian economy. This gives the clearest signal that the Indian economy has bounced back after two pandemic years,” Mr. Mohapatra said.
“60% of overall tax take”
“The direct tax-to-GDP ratio is around 12%, he added, noting that the CBDT was working to raise the ratio to 15-20% in 5-10 years.
“The direct tax collection this year has surpassed the indirect tax collection which was other way round till last year. It is now 52%… our aim is to look at 60% of tax contribution coming from direct taxes in some years,” said the CBDT chairman.
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