Despite the devastating second wave of COVID-19, direct tax assortment for the primary quarter of the present monetory year has supassed the mop-up within the corresponding interval of FY19-20.
The Indian Express has accessed the income tax data which reveals the total tax assortment for FY21-22 as on June 14 stood at Rs 1.68 lakh croreup by 66 per cent from Rs 1.01 lakh crore in FY19-20, the year before the pandemic.
The report suggests that the number is likely to increase as the advance tax payment is slated to end only by midnight today.
Further, this year’s collection is also 85 percent higher than the previous year’s figure of Rs 91,160 crore, however the numbers are not comparable because India was under strict lockdown in April and May 2020.
As of June 14 (Tuesday), Rs 11.08 lakh crore i.e 15 per cent of the total budget was achieved by the tax department this financial year.
Notably, the rise in the direct tax collection indicates that the economy has not suffered as severe as in the first quarter of FY20-21.
High frequency data like the manufacturing purchasing managers’ index (PMI), and rail freight also show a lower impact in May 2021 compared to a year ago. Similarly, Goods and Services Tax collections surpassing Rs 1 lakh crore for the eight month in a row in May show that the economic impact of the lockdown has been muted.
According to the direct tax information, within the first three months of FY 21-22, company tax collections rose to Rs 62,229 crore from Rs 17,780 crore in the identical interval in FY 19-20, whereas earnings tax assortment rose to Rs 1 lakh crore from Rs 81,070 crore in the identical interval in FY 19-20.
Mumbai, which contributes about 32 per cent to the general direct tax assortment, has collected Rs 49,646 crore or 14.31 per cent of its total tax goal of Rs 3.46 lakh crore, as on June 14. The Bengaluru circle has collected Rs 24,025 crore of direct taxes within the first quarter of this monetary year, adopted by Delhi at Rs 21,254 crore, Chennai at Rs 11,544 crore and Hyderabad at Rs 11,351 crore as on June 14.