Direct tax collections jump 18% to Rs 19.58 trn; exceed estimates in FY24

India's net direct tax collections surged by a massive 17.7 per cent year-on-year to Rs 19.58 crore in the fiscal year ended March 2024, surpassing even revised estimates by a wide margin, the tax department said on Sunday.

Net collections of income and corporate taxes, which make up for most of the direct taxes, in 2023-24 financial year exceeded the Budget estimates by Rs 1.35 trillion (7.40 per cent) and the revised estimates by Rs 13,000 crore.

While gross direct tax collections (provisional) for the FY 2023-24 rose 18.48 per cent to Rs 23.37 trillion, net proceeds (after accounting for refunds) surged 17.7 per cent to Rs 19.58 trillion, reflecting buoyancy in the economy and rise in income levels of individuals and corporates.

Refunds aggregating to Rs 3.79 trillion have been issued in FY 2023-24, the CBDT said in a statement.

The gross collection (provisional) of Direct Taxes (before adjusting for refunds) for the FY 2023-24 stood at Rs 23.37 trillion, showing a growth of 18.48 per cent over the gross collection of Rs 19.72 trillion in FY 2022-23.

The gross corporate tax collection (provisional) in FY 2023-24 was up 13.06 per cent to Rs 11.32 trillion as compared to the gross corporate tax collection of Rs 10 trillion of the preceding year.

The Net Corporate Tax collection (provisional) in FY 2023-24 at Rs 9.11 trillion showed a growth of 10.26 per cent over the net corporate tax collection of Rs 8.26 trillion of the preceding year.

The Gross Personal Income Tax collection including Securities Transaction Tax (provisional) in FY 2023-24 at Rs 12.01 trillion was up 24.26 per cent over previous year's collection of Rs 9.67 trillion.

The Net Personal Income Tax collection including STT (provisional) in FY 2023-24 at Rs 10.44 trillion showed a growth of 25.23 per cent over preceding fiscal year's figure of Rs 8.33 trillion.

Refunds of Rs 3.79 trillion have been issued in the FY 2023-24 showing an increase of 22.74 per cent over the refunds of Rs 3.09 trillion issued in FY 2022-23, the statement added.