Net direct tax collections for April-August grew 17.5 per cent from last year to Rs 2.24 lakh crore, amounting to 22.9 per cent of the total Budget estimate for direct taxes for 2017-18, data released by Central Board of Direct Taxes (CBDT) showed. Corporate tax collections, however, grew at a slower pace in April-August, with net collections growing 18.1 per cent from the same period last year and gross collections growing 5 per cent year-on-year.
In April-July, net corporate tax collections, after adjusting for refunds, had grown 23.2 per cent year-on-year, while gross corporate tax collections had increased by 7.2 per cent from the same period last year.
Personal Income Tax, including Securities Transaction Tax, grew 16 per cent during April-August, the first five months of this financial year. After adjusting for refunds, the net growth in personal income tax collections was 16.5 per cent in April-August.
Refunds amounting to Rs 74,089 crore have been issued during April-August, which are 7.2 per cent lower than the refunds issued during the corresponding period of last financial year.
Last month, the government had said that the rise in direct tax collections was reflective of the positive effects of demonetisation.
Collection of advance tax under personal income tax as on August 5 had registered a growth of about 41.79 per cent over the corresponding period in last fiscal, while collection of Self-Assessment Tax under personal income tax had recorded a growth of 34.25 per cent from the same period last year.
In April-August of last financial year, 2016-17, the direct tax collections had grown 15.03 per cent to Rs 1.89 lakh crore. The government estimates to collect Rs 9.80 lakh crore from direct taxes in the current fiscal.