Direct tax collection growth falls 6.1% to Rs 7. 26 lakh crore
With not much time left to the union budget 2020, sources privy to the developments told CNBC-TV18 that direct tax collections between April to January 15 of this fiscal, have shown a negative growth of -6.1 percent.
The figures become important as the union budget is on the anvil and direct tax collections are a reflection of the income of the people and the corporate sector in the country. Also, healthy headroom on account of tax revenues help the government maintain fiscal discipline.
The July 5 budget for FY19-20 had mentioned a direct tax collections target of Rs 13.35 lakh crore. Sources in the know told CNBC-TV18 that the direct collections stood at Rs 7. 26 lakh crore against Rs 7.73 lakh crore recorded during the same period last year.
The government so far has received Rs 3.87 lakh crore from corporate tax, Rs 3.29 lakh crore from personal income tax, collections from securities transaction tax is about Rs 9,000 crore and equalisation levy collections are about Rs 887 crore, according to the data shared by sources.
Not just this, the negative growth in the collections is a reflection of negative growth that various zones are reporting to the centre.
As per the data accessed by CNBC-TV18, “All zones are showing a negative collection-number apart from only two, which are Ahmedabad with just managing to be in the positive growth territory at 0.30 percent growth and Nagpur with a healthy growth of over 35 percent.”
However, all major regions like Mumbai, Delhi, Kolkata, Chennai, Bengaluru, and Hyderabad have recorded negative growth in collections.
“Mumbai at -5.9 percent, Delhi at -10.8 percent, Chennai at -2.6 percent, Hyderabad at -0.1 percent, Bengaluru at -7.4 percent and maximum decline is being witnessed by Jaipur at -20.4 percent,” said people familiar with the matter.
Let’s see what are the revised estimates of direct taxes that the government presents when it unveils the union budget, laying down the accounts of the government on February 1.
CITY TAX COLLECTIONS (Lakh Crore) GROWTH
Mumbai 2.23 -5.90%
Delhi 1.07 -10.80%
Bengaluru 0.78 -7.40%
Chennai 0.52 -2.60%
Pune 0.41 -2.40%
Hyderabad 0.41 -0.10%
Ahmedabad 0.36 0.30%
Chandigarh 0.31 -3.50%
Kolkata 0.29 -5.80%
Kanpur 0.17 -10.70%
Bhopal 0.14 -6.70%
Jaipur 0.11 -20.40%
Kochi 0.10 -3.20%
Lucknow 0.08 -3.30%
Patna 0.08 -2.50%
Bhubaneswar 0.07 -16.50%
Guwahati 0.04 -17.10%
Nagpur 0.04 35.20%
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