Though direct tax collection missed the RE by `62,000 cr, it grew by 13.5% compared with FY18.
The effective taxpayer base grew 13.5% for the assessment year (AY) 2018-19, recording the highest rate in the last five years, the finance ministry said in a reply in the Lok Sabha. The tax base, which includes assessees filing I-T returns along with those whose tax is deducted at source, rose to 8.44 crore in 2018-19, compared with 7.42 crore in FY18.
Even though the direct tax collection missed the revised estimate by a whopping Rs 62,000 crore, it grew by 13.5% compared with FY18. It was the second-slowest growth in direct tax collection in the last five years. The Budget estimate for the current fiscal shows that collections would need to increase by over 22% from actual collections.
“The direct-tax GDP ratio for the FY 2017-18 was 5.86% and for 2018-19, it was 5.98% (provisional),” it said.
The e-returns filing also grew by nearly 19% in AY19 to 6.49 crore, compared with 5.47 crore for AY18, the ministry said. It said while the income tax department issued over 1.61 lakh crore in refunds in the last fiscal, it has already issued Rs 64,700 crore in refunds till June 18, 2019.
“Further, all field authorities have been instructed to issue refunds up to `5,000 without any adjustment against outstanding demand, if any,” it said.