The Indian government has revised its total tax revenue target for the financial year 2024 to Rs 34.4 lakh crore, an increase of nearly Rs 1 lakh crore from the original budget estimate. This is a significant achievement, reflecting the robust performance of taxpayers across the country.
Tax Collection Milestones
From April 1 to November 10 this year, taxpayers have been contributing at an unprecedented rate, with an average of Rs 225 crore deposited every hour for 224 days of the financial year. Over the span of just 7 months and 10 days, a staggering Rs 12 lakh crore in taxes was collected. The total tax figure includes Rs 5 lakh crore in corporate taxes and over Rs 6.50 lakh crore in non-corporate taxes, which includes income taxes and taxes paid by individual taxpayers.
Growth in Direct Tax Collections
Direct tax collections in India saw a significant surge of 15.41% between April and November. Net direct tax collections amounted to Rs 12.11 lakh crore, supported by corporate tax contributions of Rs 5.10 lakh crore and non-corporate taxes of Rs 6.62 lakh crore. Overall, gross direct tax collections for this period saw an increase of 21.20%, reaching Rs 15.02 lakh crore.
Refunds and Adjusted Tax Collections
Refunds worth Rs 2.92 lakh crore were issued during this period, a 53% increase from the previous year. After adjusting for these refunds, the net direct tax collections stood at Rs 12.11 lakh crore, reflecting a 15.41% year-on-year growth. The government’s revised target for direct taxes stands at Rs 22.12 lakh crore, marking a 13% increase over last year.
Tax Revenue Breakdown for FY 2024
The revised total tax revenue for FY 2024 is now pegged at Rs 34.4 lakh crore, with contributions from various tax categories:
- Income Tax: Up 16.1%
- Corporate Tax: Up 10.5%
- Customs Duty: Up 8.7%
- GST Collections: Expected to rise by 11% to Rs 10.6 lakh crore.
This revision indicates the government’s success in increasing tax compliance and enhancing tax revenue collection mechanisms across the nation.
Future Outlook
Looking ahead, the government has set a tax revenue target of Rs 38.4 lakh crore for the fiscal year 2025, an 11.7% increase over the revised estimate for FY 2024. This continued growth in tax collections is expected to support the country’s economic development and meet its financial goals.
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