Direct tax collections jump 182% in 10 years to over US$ 233.25 billion (Rs. 19.60 trillion) in FY24

Direct tax collections have surged by 182% to over US$ 233.25 billion (Rs. 19.60 trillion) in FY24, marking a significant increase during the decade-long tenure of Prime Minister Mr. Narendra Modi. According to the latest 'Time Series Data' released by the Income Tax Department, corporate tax collections have more than doubled, reaching over US$ 108.41 billion (Rs. 9.11 trillion) over the past 10 years, while personal income tax revenue has nearly quadrupled to US$ 124.36 billion (Rs. 10.45 trillion). In FY15, the first year of the Prime Minister, Mr. Narendra Modi’s administration, direct tax collection was approximately US$ 82.83 billion (Rs. 6.96 trillion), comprising US$ 51.05 billion (Rs. 4.29 trillion) from corporate tax and US$ 31.66 billion (Rs. 2.66 trillion) from personal income tax.

The number of income tax returns filed, including revised returns, rose from over 4.04 crore in FY15 to more than 8.61 crore in FY23. The direct tax-to-GDP ratio also improved, increasing from 5.55% in FY15 to 6.64% in FY23. Furthermore, tax buoyancy, which measures revenue mobilisation efficiency relative to GDP growth, jumped from 0.86 to 2.12 over this period. The total number of taxpayers has expanded significantly, from 5.70 crore in 2014-15 to 10.41 crore in 2023-24.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.