In the last financial year 2021-22, the collection of direct tax was more in the indirect tax collection.
Record tax collection happened in India in the last financial year 2021-22. In the financial year 2021-22, India collected gross tax of Rs 27.07 lakh crore from income, corporate tax, customs and GST, which was the highest in comparison to GDP in the last 23 years. Revenue Secretary Tarun Bajaj has given this information. According to Bajaj, in the last financial year, the tax to GDP ratio reached a record 23-year high of 11.7 per cent since 1999. In the financial year 2020-21, this ratio was at 10.3 percent. Apart from this, it was encouraging for the government that the tax collected in the last financial year 2021-22 was about Rs 5 lakh crore more than the budget estimate of Rs 22.17 lakh crore. There was a gross tax collection of Rs 20.21 lakh crore in the financial year 2020-21.
Tax collection increased twice as fast as GDP
According to Bajaj, the overall tax buoyancy figures are very strong and it is close to 2. This means that the growth in tax collection has grown twice as fast as the nominal GDP growth rate. According to Bajaj, technology is now being used a lot and GST figures are being matched with Income Tax figures. Apart from this, compliance of tax rules is being ensured. Due to all this, the revenue from direct and indirect taxes has improved.
49% increase in direct tax collection
Direct tax i.e. individual and corporate tax increased by 49 percent, which according to Bajaj was the highest growth rate in a long time. In the last financial year, there was a direct tax collection of Rs 14.10 lakh crore. In this, corporate tax jumped 56.1 per cent to Rs 8.58 lakh crore and personal income tax collection grew by 43 per cent to Rs 7.49 lakh crore. Income tax refunds worth Rs 2.24 lakh crore were issued to 2.43 crore entities in FY 2022.
Indirect tax collection also increased but collection less than direct tax
Talking about indirect tax, custom collection increased by 48 percent to Rs 1.99 lakh crore, CGST and cess increased by 30 percent to Rs 6.95 lakh crore. However, the excise was 0.2 per cent lower i.e. Rs 3.90 lakh crore. Overall, in the financial year 2022, 20 percent more indirect tax of Rs 12.90 lakh was collected. According to Bajaj, the direct tax collection in the last financial year 2021-22 was higher than the indirect tax collection and he expects this trend to continue in the coming years. (Input: PTI)