Business income, largely reported by corporates and the single largest direct tax head, increased just 3.9% from R12.7 lakh crore in FY12 to `13.2 lakh crore in FY14, while individuals’ salary income rose a robust 56% from `6.3 lakh crore to `9.8 lakh crore in the period.
Two individuals reported the highest annual salary income of over `100 crore in FY14, another 10 such income between `50-100 crore while a total of 44 drew more than `25 crore each in salaries. This was when 1.95 crore of 3.65 crore individual tax filers showed nil salary income in that year, as per the time-series data put out by the tax department on Wednesday.
As many as 158 firms reported annual “returned income” (after statutory deductions) of above `500 crore from all sources in FY14 while 558 showed the same in `100-500 crore range and 647 reported such income between `50 crore and `100 crore. The decline in corporate profitability is evident because in FY12, as per data released earlier, 198 firms had annual returned income above `500 crore while 675 reported such income in `100-500 crore range and 708 reporting it between `50 crore and `100 crore.
Individuals’ salary income, however, improved: in FY12, none had such income above `100 crore, only six reported `50-100 crore salary income while 26 had such income in the `25-50 crore range.