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Direct taxes should be 12% of GDP: Pranab Mukherjee
May, 31st 2012

Union finance minister Pranab Mukherjee on Sunday said that he wants to see a larger share of direct tax revenue in the national gross domestic product (GDP) pie. It should be 12% of the country's GDP, he said.

"Direct taxes, being most efficient and non-inflationary, are not having their due share in the GDP. The share of direct taxes in the tax basket has been substantial. But my desire is to see, sooner rather than later, them reach 12% of our GDP," Mukherjee said.

The minister was in the city to inaugurate the city's first Aayakar Seva Kendra (ASK) a single-window help centre for tax payers. "In FY12, we managed to realize direct tax revenues of around Rs 5 lakh crore and I have set a target of Rs 5.7 lakh crore by FY13."

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