The income tax department collected R5.5 lakh crore from corporate, personal and wealth taxes in the April-December period of this fiscal, 12.9% more than what it had collected in the same period a year ago. Due to tax refunds, net direct tax receipts, however, grew at a slower pace of 7.41% to R4.48 lakh crore. For the full year, the government has a 15.7% growth target for gross direct tax receipts.
As per data released by the finance ministry on Friday, gross corporate tax collection in the first three quarters of the fiscal grew 12.8% from a year ago to R3.5 lakh crore.
Gross personal income tax receipts, too, grew by 12.6% to R1.9 lakh crore in the first three quarters of this fiscal.
Receipts from securities transaction tax (STT) grew 43.4% in the same period to R4,940 crore. Collections by way of advance tax grew 13% while receipts by way of tax deducted at source grew at 7.84% in the first three quarters.
While direct tax collection growth is in double digits, indirect tax receipts growth is far behind the 20% growth target set for the current year.
Excise, customs and service tax collection grew by just 6.7% in the April-December period as manufacturing activities remained muted.
To raise indirect tax revenue, the government recently increased excise duty on petrol and diesel coinciding with price cuts on these products by fuel retailers IOC, HPCL and BPCL so that the consumer price remains unchanged despite the duty increases.