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The Central Board of Direct Taxes (CBDT) has said that gross collection of tax on corporate and individual earnings jumped nearly 24 percent so far in the current fiscal year that started on April 1, 2022. CBDT said direct tax collection came at Rs 8.98 lakh crore between April 1 to October 8, 2022, 23.8 percent higher than the gross collection in the corresponding period a year ago. Tax on corporate and individual income makes up for direct taxes. The gross collection of taxes on corporate earnings rose 16.74 percent from April 1 to October 8, while personal income tax collection jumped 32.30 percent.

After adjusting refunds, direct tax collection stood at Rs 7.45 lakh crore, 16.3 percent higher than the net collection for the corresponding period a year ago. This collection is 52.46 percent of the total Budget Estimates of Direct Taxes for FY 2022-23. Tax collection is an indicator of economic activity in any country. But in India, the robust tax collection was despite a slowdown in industrial production and exports.

It further said that so far as the growth rate for corporate income tax (CIT) and personal income tax (PIT) in terms of gross revenue collection is concerned, the growth rate for CIT is 16.73 percent, while that for PIT (including STT) is 32.30 percent. After the adjustment of refunds, the net growth in CIT collection was 16.29 percent, and that in PIT collection was 17.35 percent (PIT only)/16.25 percent (PIT including STT). Refunds amounting to Rs 1.53 lakh crore have been issued during the period April 1, 2022, to October 8, 2022, 81 percent higher than the refunds issued during the same period in the preceding year.