New Delhi, NFAPost: Central Board of Direct Taxes, on Tuesday, released a new report revealing that the country’s net direct tax collections have increased by 160.52 per cent from ₹6,38,596 crore in 2013-14 to ₹16,63,686 crore in 2022-23.
Official data further revealed that the income tax department is allocating increased resources to the collection of direct taxes, despite a substantial rise in the number of taxpayers. This trend suggests a growing reliance on advanced technology and enhanced compliance measures.
“A ‘Taxpayer’ is a person who either has filed a return of income for the relevant Assessment Year (AY) or in whose case tax has been deducted at source in the relevant Financial Year but the taxpayer has not filed the return of income,” the CBDT said.
The cost of collection has seen a decline from 0.57% of the total collection in the fiscal year 2013-14 to 0.51% in the fiscal year 2022-23. In 2000-01, the cost was notably higher at 1.36% of the total collections but has consistently decreased over the years.
In the fiscal year 2022-23, gross direct tax collections amounted to ₹19,72,248 crore, marking a remarkable surge of over 173.31 percent compared to the corresponding figure of ₹7,21,604 crore recorded in 2013-14. Direct taxes encompass both personal income tax and corporate tax.
The direct tax to GDP ratio witnessed an ascent from 5.62 percent in 2013-14 to 6.11 percent in 2022-23.
Simultaneously, the cost of tax collection has diminished, decreasing from 0.57 percent of the total collection in 2013-14 to 0.51 percent of the total collection in 2022-23.
Notably, the total number of Income Tax Returns (ITRs) filed in FY 2022-23 stands at 7.78 crore, indicating a substantial increase of 104.91 percent compared to the total number of ITRs filed in FY 2013-14, which was 3.80 crore.
