FM Arun Jaitley defends note ban with jump in tax numbers
January, 09th 2017
The government's tax collections were up in December 2016 bucking any impact of demonetisation with excise duty, levied at factory gate on goods, showing a growth of 31% .
Direct taxes grow by 12.01% and indirect taxes grow by 25% over the corresponding period last year April-December 2015, according to data released by the finance ministry on Monday.
Giving out the data, finance minister Arun Jaitley said: "Big picture is direct taxes are up for first three quarters and indirect taxes are up significantly".
He said this tax data is real data and not estimation and a growth of 31% in excise showed that manufacturing remained robust. Advance tax collections in December quarter stand at Rs.2.82 lakh crore, which is 14.4% higher than the figures for the corresponding period of last year. Corporate advance tax grew by 10.6% while personal income tax advance tax registered a growth of 38.2%.
Indirect tax collections (Central Excise, Service Tax and Customs) up to December 2016 showed a growth of 25% at Rs 6.30 lakh crore.
Central excise collections stood at Rs. 2.79 lakh crore during April-December, 2016 as compared to Rs.1.95 lakh crore during the corresponding period in the previous financial Year, registering a growth of 43%. Service tax during April-December, 2016 stood at Rs. 1.83 lakh crore as compared to Rs.1.48 lakh crore during the corresponding period in the previous financial year, thereby registering a growth of 23.9%.
Customs collections during April-December 2016 stood at Rs. 1.67 lakh crore as compared to Rs. 1.60 lakh crore during the same period in the previous Financial Year, thereby registering a growth of 4.1%. During December 2016, the net indirect tax grew at the rate of 14.2% compared to corresponding month last year.
The growth rate in net collection for customs, central excise and service tax was -6.3%, 31.6% and 12.4% respectively during the month of December, 2016, compared to the corresponding month last year.
The de-growth in customs collections is largely on account of a decline of gold imports by about 46% (in volume terms) in December 2016 over December 2015, a statement said.