The tax collection target set in the Union Budget is nearly Rs 27.50 lakh crore, for the financial year ending March 2023. Expectedly, the total tax collection is around Rs 31.50 lakh crore for 2022-23
The revenue secretary, Tarun Bajaj said that tax collection in India will exceed the budget estimate by nearly Rs 4 lakh crore in the current fiscal, on 23 November. This is due to buoyant income tax, customs duty and GST (Goods and Services Tax) mop-up.
According to him the tax revenues growth will continue to be on higher than the GDP growth, backed by formalisation of the economy and better compliance, reported a media house.
The tax collection target set in the Union Budget is nearly Rs 27.50 lakh crore, for the financial year ending March 2023.
Bajaj said the direct tax collection comprising personal and corporate taxes would be close to Rs 17.50 lakh crore in the current fiscal. Mop up from indirect taxes (customs, excise and GST) would be close to Rs 14 lakh crore.
Expectedly, the total tax collection is around Rs 31.50 lakh crore for 2022-23, he added.
The direct and indirect tax mop up fixed in the budget stood at Rs 14.20 lakh crore and Rs 13.30 lakh crore for current fiscal, respectively. It took the total figure to Rs 27.50 lakh crore.
Bajaj said that “We are using a lot of data from the income tax and GST departments, and MCA (ministry of corporate affairs). Also, we get data regarding high value expenditure. Formalisation of economy and technology that has helped improved compliance.”
During last fiscal, the direct tax collection went nearly 50 per cent up to Rs 14.10 lakh crore as compared to 2020-21.
“Higher tax collection than GDP growth, will continue as a trend,” said the secretary.
He also said that the government will be very near to the target set during budget, despite there existed a reduction in customs and excise duties during this fiscal.
A target of collecting Rs 2.13 lakh crore and Rs 3.35 lakh crore from customs and excise duties, respectively, has been set in the budget.