The government on Monday credited demonetisation and Operation Clean Money for 24.7% increase in the income tax returns (ITRs) filed till August 5, compared with the same period last fiscal. The growth in ITR filed in FY17 was much lower at 9.9%. “The number of returns filed as on 05.08.2017 stands at 2.82 crore as against 2.26 crore filed during the corresponding period of FY17,” the central board of direct taxes (CBDT) said in a statement. It added that growth in returns filed by individuals was 25.3%, with 2.79 crore returns having been received up to August 5, the last date for filing ITRs.
Additionally, advance tax collections from personal income tax showed a growth of about 42% over the corresponding period in FY17. Personal income tax under self-assessment tax (SAT) grew at 34% over the corresponding period a year ago, CBDT said. “This clearly shows that substantial number of new tax payers have been brought into the tax net subsequent to demonetisation,” CBDT said.
The direct tax collection had jumped by over 21% to Rs 1.80 lakh crore till July 15 compared to the same period last fiscal. This growth rate was higher than the target rate of 15.32% required to achieve the budget estimate. The government aims to collect Rs 9.8 lakh crore through direct taxes in the current fiscal.