Direct Tax Collections up Over 40% till February 2008

The government said that the direct tax collections have grown more
than 40% at Rs 2,326.76 billion till February 2008 this fiscal. The
amount collected by the income-tax department was 41.70% higher than
the corresponding figures during the previous year.

The revised estimates in the Budget 2008-09 has raised the collections
from direct taxes, comprising income-tax, corporate tax, FBT, STT and
BCTT, to Rs 3,044.45 billion from the Budget estimates of Rs 2,671.75
billion.
Regarding the total amount recoverable on account of corporate tax,
custom duty, income-tax and central excise duty, the Minister of state
for finance SS Palanimanickam said the total arrears as on March 2007
was Rs 263.75 billion, of which Rs 34.67 billion had been recovered
so far. As much as Rs 205.94 billion was disputed in respect of direct
and indirect taxes.

While in March 2006, the recoverable arrears stood at Rs 215.93 billion,
of which Rs 31.40 billion had been recovered in 2005-06 and the disputed
amount in respect of direct and indirect taxes was Rs 166.21 billion.
Further, he said the number of PAN cards issued till March 3 was 1,16,29,940,
and around 4% of the PAN card holders were found guilty of holding duplicate
PAN cards.

However, there was no case related to fraud demat accounts opened using
duplicate PAN. Stating that the submission of proof of identity and
address along with PAN application form is mandatory, he said that penal
provisions have been incorporated in I-T Act against those obtaining
more than one PAN card.

On account of central excise exemptions, the government had to forgo
Rs 754.75 billion of revenue and owing to direct tax exemption it had
to bear a burden of Rs 450.34 billion.

Photo: Howrah Bridge- Kolkata, Howrah, West Bengal- DSC 0007 by Souvik pal, licensed under CC BY-SA 4.0, via Wikimedia Commons.