Direct Tax Collection jumps 24% to Rs.9 Trillion in first half of FY 2022-23

Direct Tax Collection jumps 24% to Rs.9 Trillion in first half of FY 2022-23 The Gross Collection of Tax on corporate and individual earnings jumped nearly 24% so far in the current financial year to Rs.8.98(lakh Crores) trillion, the IT department stated on Sunday. Up to 8th October 2022, the provisional figures of Direct Tax Collection shows a steady growth. Direct Tax collections up to 8th October, 2022 show that gross collections are at Rs. 8.98 lakh crore which is 23.8% higher than the gross collections for the corresponding period of last year. Direct Tax collection, net of refunds, stands at Rs.7.45 lakh crore which is 16.3% higher than the net tax collections for the corresponding period of last year. This collection is 52.46% of the total Budget Estimates of Direct Taxes for F. Y. 2022-23. So far as the growth rate for Corporate Income Tax (CIT) and Personal Income Tax (PIT) in terms of gross revenue collections is concerned, the growth rate for CIT is 16.73% while that for PIT (including STT) is 32.30%. After adjustment of refunds, the net growth in CIT collections is 16.29% and that in PIT collections is 17.35% (PIT only)/16.25% (PIT including STT). From April 1 to October 8, 2022, refunds totaling Rs.1.53 lakh crore were issued, which is an increase of 81.0% over refunds given during the same time period the year before. Though corporate earnings are said to be keeping the engine going, some analysts think that the pace of economic expansion has slowed. The growth in merchandise exports from the previous year has slowed, and they decreased by 3.5% in September. In the first half of the year, the trade deficit nearly doubled. IIP growth was muted at 2.4% in July, while the "core sector" experienced a nine-month low of 3.3% in August. GST (goods and services tax) revenue has stabilised at roughly Rs 1.45–1.46 trillion per month. The Reserve Bank of India (RBI) revised its projection of India's GDP growth for the current financial year down from 7.2% to 7% last month.