Gross direct tax collection jumps 26% to ₹13.63 lakh cr for FY23

India's gross direct tax collections for the financial year 2022-23 stood at ₹13,63,649 crore as on December 17, registering a growth of 25.90% compared to the same period last year.

"The Gross collection of Direct Taxes (before adjusting for refunds) for the FY 2022-23 stands at Rs. 13,63,649 crore compared to Rs. 10,83,150 crore in the corresponding period of the preceding financial year, registering a growth of 25.90% over collections of F.Y. 2021-22," says the Central Board of Direct Taxes (CBDT).

The gross collection of ₹13,63,649 crore includes Corporation Tax (CIT) at ₹7,25,036 crore and Personal Income Tax (PIT) including Securities Transaction Tax(STT) at ₹6,35,920 crore, the finance ministry says.

"Minor head wise collection comprises Advance Tax of Rs. 5,21,302 crore; Tax Deducted at Source of Rs. 6,44,761 crore; Self-Assessment Tax of Rs. 1,40,105 crore; Regular Assessment Tax of Rs. 46,244 crore; and Tax under other minor heads of Rs. 11,237 crore," it says.

The net direct tax collection grew 19.81% year-on-year to ₹11,35,754 crore during the ongoing financial year, compared with ₹9,47,959 crore in the corresponding period of the preceding fiscal.

The net direct tax collection as on December 17 includes Corporation Tax (CIT) at ₹6,06,679 crore (net of refund) and Personal Income Tax (PIT) including Securities Transaction Tax (STT) at ₹5,26,477 crore (net of refund).

The cumulative advance tax collections for the first, second and third quarter of the FY22-23 stand at ₹5,21,302 crore as on December 17, against advance tax collections of ₹4,62,038 crore for the corresponding period of FY22, recording a growth of 12.83%.

The advance tax collection of ₹5,21,302 crore as on December 17 includes Corporation Tax (CIT) at ₹3,97,364 crore and Personal Income Tax (PIT) at ₹1,23,936 crore.

There has been a remarkable increase in the speed of processing of income tax returns filed during the current fiscal, with almost 96.5% of the duly verified ITRs having been processed till December 17, says Surabhi Ahluwalia, official spokesperson, CBDT.

This has resulted in faster issue of refunds with almost a 109% increase in the number of refunds issued in the current financial year. Refunds amounting to ₹2,27,896 crore have been issued in FY23 so far, as against refunds of ₹1,35,191 crore issued during the corresponding period in the preceding financial year, showing a growth of over 68.57%, says Ahluwalia.

Meanwhile, the government collected gross Goods and Services Tax (GST) revenue of ₹1,45,867 crore in November 2022, an increase of 11% year-on-year from ₹1,31,526 crore in the same period last year. The monthly GST revenue collection surged past ₹1.4 lakh crore for the 9th month in a row.