Net tax receipts in June quarter go up by 24% to Rs7 lakh crore

26 Jul 2022 , 10:13 AM

According to information provided by the government in answer to a question in the Lok Sabha on July 25, the Center’s net tax receipts in the first quarter of FY23 were close to Rs7 lakh crore, up 24% over the same period last year.

Net indirect tax receipts in April through June were Rs3.44 lakh crore, up 9% from the same period last year. Net direct tax receipts for the quarter were Rs3.55 lakh crore, a remarkable increase of 41%.

Pankaj Chaudhary, Minister of State for Finance, responded, “Different causes including quick economic recovery post-COVID, higher compliances owing to various steps implemented by the government have led to this increase.

At the end of this month, information on the Centre’s finances for June, including tax receipts, is expected to be made public. The Center collected Rs3.08 lakh crore in net tax in April and May, according to the most recent information from the Controller General of Accounts.

According to the budget for FY23, the centre should collect Rs19.35 lakh crore in net taxes this fiscal year, which would be a 6% rise over FY22’s total. As a result, the Center is likely to reach or even surpass its goal for the current financial year.

The government’s forecasts for tax receipts, among other things, have been criticized by economists as being extremely cautious after the Budget was announced on February 1. TV Somanathan, the finance secretary, defended the budget projections, saying they were reasonable and that wherever there was any uncertainty regarding a particular number, the administration had placed what is believed to be plausible on paper.