More Stories

Informist, Wednesday, Oct. 30, 2024

 

--Govt Apr-Sept gross tax revenue INR 18.138 tln vs INR 16.193 tln year ago

--Govt Sept gross tax revenue INR 4.811 tln vs INR 4.301 tln year ago

--Govt:Apr-Sept tax devolution to states INR 5.45 tln vs INR 4.55 tln yr ago

 

NEW DELHI – The central government's tax collections in the first half of 2024-25 (Apr-Mar) were up 12.0% on year at INR 18.138 trillion on the back of a 25.0% increase in income tax collections, data released Wednesday by the Controller General of Accounts showed. However, corporate tax collections were up only 2.3% compared to Apr-Sept last year.

 

As per the latest data, income tax and corporate tax collections in Apr-Sept were INR 5.645 trillion and INR 4.615 trillion, respectively, with September seeing robust growth of 23.0% in income tax collections to INR 1.122 trillion. Corporate tax collections, meanwhile, rose 11.6% to INR 2.369 trillion.

 

The Union Budget for FY25 has projected gross tax revenue at INR 38.402 trillion, which would be 10.8% higher than what was collected in FY24. The budgeted growth in income tax and corporate tax collections is 17.4% and 12.0%, respectively. As such, the Centre is well on track to meet its estimated revenue for the year. In net terms, the Centre's tax collections in Apr-Sept amounted to INR 12.652 trillion, up 9.0% on year, while in September it was 9.8% higher at INR 3.913 trillion. The Budget has projected a growth of 11.0% in net tax revenue to the Centre.

 

Like direct tax collections, indirect taxes too are performing in a mixed manner, with customs collections in Apr-Sept up 6.4% as against the Budget estimate of a 2.0% growth from FY24. However, Central Goods and Services Tax collections were up 10.8% in the first half of the year as against the Budgeted growth of 11.0% and the excise mop-up was up 3.0% compared to expectations of 4.5%.

 

In September, central GST mop-up was 13.4% higher. On the other hand, customs and excise collections were lower by 17.8% and 2.1%, respectively, compared to September 2023, the data showed.

 

Meanwhile, tax devolution to states in Apr-Sept was INR 5.448 trillion, up 19.6% on year. States are budgeted to get INR 12.472 from the central government this year. On Oct. 10, the finance ministry transferred a double instalment of INR 1.782 trillion to states. As such, it takes the total amount transferred to states in Apr-Oct to INR 7.230 trillion, or 58.0% of the full-year amount. The Centre must transfer INR 1.048 trillion on average in each of the final five months of FY25 to meet the Budget estimate. While this would be higher than the monthly sum of INR 890.86 billion, there will likely be another month with double instalment of tax devolution in the remainder of the year.

 

The government releases tax devolution to states in 14 equal instalments every year. While this means two months when the instalment is double the usual amount, greater clarity and strength of its finances in recent years has allowed the Centre to increase this number to three and even four in the last couple of years.

 

The details for the central government's tax collections for September and Apr-Sept are as follows (in billion rupees):

 

	Apr-Sept 2024	Apr-Sept 2023	Year-on-year change
Corporation Tax	4,615.06	4,512.83	2.3%
Income Tax	5,645.17	4,516.28	25.0%
Central GST	4,412.20	3,980.64	10.8%
Union Territory GST	16.24	16.69	-2.7%
Integrated GST	(-)8.46	(-)12.08	(-)30.0%
GST compensation cess	743.23	691.31	7.5%
Customs	1,129.59	1,061.84	6.4%
Excise duty	1,284.66	1,247.58	3.0%
Service Tax	0.94	4.76	(-)80.3%
Other taxes	299.79	172.86	73.4%
Total	18,138.42	16,192.71	12.0%

 

	September 2024	August 2024	September 2023	Year-on-year change
Corporation Tax	2,368.67	400.65	2,123.35	11.6%
Income Tax	1,122.31	577.98	912.47	23.0%
Central GST	699.98	706.06	617.31	13.4%
Union Territory GST	3.38	3.52	1.99	69.8%
Integrated GST	16.00	82.13	16.86	(-)5.1%
GST compensation cess	118.61	119.15	113.85	4.2%
Customs	186.30	268.07	226.66	(-)17.8%
Excise duty	244.60	271.94	249.82	(-)2.1%
Service Tax	0.62	0.19	0.46	34.8%
Other taxes	50.73	55.24	38.14	33.0%
Total	4,811.20	2,484.93	4,300.91	11.9%

 

End

 

Reported by Siddharth Upasani

Edited by Tanima Banerjee

 

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

 

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.

 

Informist Media Tel +91 (11) 4220-1000

Send comments to feedback@informistmedia.com

 

© Informist Media Pvt. Ltd. 2024. All rights reserved.