Gross direct tax collections grow 22.19% in FY25

The finance ministry on Tuesday revealed that gross tax collections recorded a growth of 22.19% year-on-year to ₹5.15 lakh crore from April 1 to June 17 in the financial year 2024-25 compared with ₹4.22 lakh crore in the corresponding period last fiscal.

The gross collection of ₹5,15,986 crore includes Corporation Tax (CIT) at ₹2,26,280 crore and Personal Income Tax (PIT) including Securities Transaction Tax (STT) at ₹2,88,993 crore. Minor head-wise collection comprises Advance Tax of ₹1,48,823 crore; Tax Deducted at Source of ₹3,24,787 crore; Self-Assessment Tax of ₹28,471 crore; Regular Assessment Tax of ₹10,920 crore; and Tax under other minor heads of ₹2,985 crore.

The provisional figures of direct tax collections for FY25 (as on June 17) show that net collections are at ₹4,62,664 crore, compared to ₹3,82,414 crore in the corresponding period of the preceding financial year, representing an increase of 20.99%.

The net direct tax collection of ₹4,62,664 crore (as on June 17) includes Corporation Tax (CIT) at ₹1,80,949 crore (net of refund) and Personal Income Tax (PIT) including Securities Transaction Tax (STT) at ₹2,81,013 crore (net of refund).

Provisional figures of total advance tax collections for financial year 2024-25 stand at ₹1,48,823 crore, against advance tax collections of ₹1,16,875 crore for the corresponding period of the immediately preceding financial year, showing a growth of 27.34%. The advance tax collection of ₹1,48,823 crore comprises Corporation Tax (CIT) at ₹1,14,353 crore and Personal Income Tax (PIT) at ₹34,470 crore.

Refunds amounting to ₹53,322 crore have also been issued in FY25 till June 17, which are 33.70% higher than refunds issued during the same period in the preceding year.

In terms of indirect taxes, gross Goods and Services Tax (GST) revenue for the month of May 2024 stood at ₹1.73 lakh crore, representing a 10% year-on-year growth, driven by a strong increase in domestic transactions which were up 15.3%. Imports, however, slowed by 4.3%. After accounting for refunds, the net GST revenue for May 2024 stands at ₹1.44 lakh crore, reflecting a growth of 6.9% compared to the same period last year.

The Central Goods and Services Tax (CGST) stood at ₹32,409 crore, State Goods and Services Tax (SGST): at ₹40,265 crore, Integrated Goods and Services Tax (IGST) at ₹87,781 crore, including ₹39,879 crore collected on imported goods. Cess came in at ₹12,284 crore, including ₹1,076 crore collected on imported goods.

The government has decided to hold the Goods and Services Tax (GST) Council meeting on June 22 in New Delhi, according to the ministry of finance. The last Council meeting was held in August last year. The agenda for the meeting is not known yet. Experts, however, are of the view that the Council must now take up the GST slab/rate rationalisation discussions, valuation rules, and set the ball rolling on inclusion of some of the petroleum products under the ambit of the GST.