Direct Tax Collections of FY 2022-23
The CBDT operating under the Finance Ministry recently released the Revised Estimates of the Direction of Tax collection of the country. In accordance with the report released, the direct tax collection of India has increased by 24% in 2022-23 as compared to that of the previous year. In 2022-23, the total direct taxes collected were Rs 15.67 lakh crores.
Direct Tax collection in 2022-23
The budget estimates of the direct tax revenues were Rs 14.2 lakh crores. However, the collected amount is higher than this. The figures provided are up to February 10, 2023.
Why the increase?
The tax collections increased mainly because of the Corporate Income Tax collections and Personal Incomes Tax Collections. The corporate income tax collections were 19.33% higher than the previous year. And the Personal Income Tax collection was 29.63% higher than the previous year.
What is a direct tax?
The taxes such as income tax are categorised as direct taxes. That is, these taxes are imposed on the profits of a person or an organization rather than on goods and services. GST is not a direct tax. It is an indirect tax. This is because it is imposed on goods and services and mostly includes service taxes, value-added taxes, excise duties, purchase tax, etc.
Category: Economy & Banking Current Affairs - 2022