Indian government’s direct tax collection rose 17% in May 2009 to Rs. 11,919 crore (1 crore = 10 million). In April 2009, tax collection contracted 3.19% to Rs. 12,239 crore against Rs. 12,642 crore in the same period in FY 2007-2008. Following a 18.6% decline in February 2009, tax collection grew 0.92% in March 2009. Government would be able to get a better understanding of the current trend after advance tax payments in June. In July, the newly elected Indian government is going to present its first budget.
Here are some of the highlights of the ongoing tax collection trends:
- Despite, the instant surge in share prices immediately after the Indian Congress led UPA came to power, Securities Transaction Tax collection declined 24.75% to Rs. 795 crore in May 2009 against Rs.1057 crore in May 2008.
- Fringe Benefit Tax declined 5.57% to Rs. 103 crore against Rs. 109 crore in April-May 2008.
- Due to fast processing of returns, refund outgo in April-May improved significantly.
- In April-May refunds to non-corporate tax-payers grew 61.7% to Rs. 2149 crore against Rs. 1329 crore in the same period last year.
- Corporate tax collection in April May increased 5.56% to Rs. 8,578 crore from Rs. 8126 crore.
- Personal income tax grew 5.92% to Rs. 15,559 crore against 14,960 crore in the same period last year.