The government is expected to surpass its direct tax collection target of Rs 22.07 lakh crore for the current fiscal year, according to Ravi Agarwal, Chairman of the Central Board of Direct Taxes (CBDT).
Agarwal also announced that taxpayers, who have not reported foreign income or assets in their Income Tax Returns (ITRs) can file revised returns until December 31 for the 2023-24 fiscal year. The tax department is currently sending SMS and email notifications to individuals who have not disclosed high-value assets.
Speaking at the inauguration of the Taxpayers Lounge at the India International Trade Fair (IITF) on November 18, Agarwal revealed that over 6,000 suggestions have been received for a review of the income tax law, with the goal of simplifying its language and making it more accessible.
“We are confident that we will exceed the budgeted tax collection target. Both corporate and non-corporate tax receipts have seen a significant increase,” Agarwal said.
According to the latest data from the CBDT, net direct tax collections from April 1 to November 10 grew by 15.41 percent to Rs 12.11 lakh crore. This figure includes Rs 5.10 lakh crore from corporate taxes and Rs 6.62 lakh crore from non-corporate taxes, which cover individual, HUF, and firm taxes. Additionally, securities transaction tax (STT) revenue amounted to Rs 35,923 crore during this period.
The government’s direct tax collection target for the fiscal year is Rs 22.07 lakh crore, comprising Rs 10.20 lakh crore from corporate taxes and Rs 11.87 lakh crore from personal income tax and other taxes.
India’s net direct tax collections for the fiscal year ending March 2024 surged by 17.7 percent year-on-year to Rs 19.58 lakh crore, exceeding even the revised estimates by a significant margin. The collections from income and corporate taxes, which make up the majority of direct tax revenue, were Rs 1.35 lakh crore (7.4 percent) higher than the Budget estimate and exceeded the revised estimate by Rs 13,000 crore.
The government had raised its direct tax collection target for FY24 to Rs 19.45 lakh crore in the interim Budget presented on February 1, 2023.