Net Direct Tax Mop Up Rise 47-Pc - Aug 07 , 2008

The net mop up of the Centre''s direct tax revenues witnessed a 46.95 per cent rise in the first four months of the current fiscal. The net direct tax collections was Rs 71,648 crore during April-July 31 this year as compared with Rs 48,756 crore collected in the same period last year. While corporate tax collections rose 50.08 per cent to Rs 41,598 crore (Rs 27,718 crore), personal income tax (including FBT, STT and BCTT) grew 42.82 per cent to Rs 29,982 crore (Rs 20,993 crore).

The strong growth in personal income tax collections has come in the backdrop of an increase in the threshold exemption limit of taxation from Rs 1.10 lakh to Rs 1.5 lakh and also an increase in the tax slabs in budget 2008-09. Growth in direct tax collection has been driven by a growth of 44.56 per cent in tax deducted/collected at source (TDS/TCS), which stood at Rs 45,935 crore as against Rs 31,776 crore in the earlier year. Growth in corporate TDS/TCS was particularly high at 60.6 per cent. Among regions, tax growth in Mumbai and Delhi was 36.33 per cent and 76.40 per cent, respectively.

Other regions with high tax growth are Nagpur (77.80 per cent); Kochi (58.08 per cent); Kolkata (49.87 per cent); Hyderabad (40.69 per cent) and Bangalore (40.25 per cent).

Direct Tax Mop Rise 132-Pc

Net direct tax collections went up by 132 per cent to Rs 12,642 crore in the first month of the current fiscal, as against Rs 5,441 crore in the corresponding month of the previous fiscal. The Securities Transaction Tax (STT) collections, however, came down by 18 per cent in April to Rs 351 crore, compared with Rs 431 crore in the corresponding month of 2007-08.

Additionally, mop up from the Fringe Benefit Tax (FBT) and Banking Cash Transaction Tax (BCTT) have come down in April over the corresponding month a year ago, sources said. However, Personal Income Tax (including STT, FBT and BCTT) was up 124 per cent at Rs 8,596 crore in April, compared with Rs 3,834 crore in the same month a year ago. Corporation income tax collections also witnessed a 142 per cent rise at Rs 3,881, compared with Rs 1,602 crore during the month a year ago. Other collections were at Rs 165 crore in the month, compared with Rs 5 crore a year ago. Direct tax collections rose by 35 per cent to around Rs 3,12,000 crore in 2007-08, or Rs 7,240 crore more than the revised estimate of Rs 3,04,760 crore for the year. Direct tax collections had grown by over 39 per cent to Rs 2,30,184 crore in 2006-07.