Direct tax collection has gone skywards taking Gujarat to the top position in the country. This fact is aptly reflected in the fact that many income tax commissionerates in Gujarat have registered more than 50 per cent increase in net tax collection as compared to 2010.

Here is an example: The income tax department's commissioner 5 office has seen a jump of 150 per cent in the direct tax collections. The office covers areas like Paldi, Vasna, Navrangpura, Bapunagar and also Surendrangar.

The tax collection from this office from April to December 17, 2011 stood at Rs 176.2 crore which is 153.9 per cent higher than Rs 69.4 crore in the same period last year.

"The tax collection figures for Gujarat are impressive in many ways. As not just major cities, but the tax collection from town and rural areas has also jumped significantly. Growth in sectors like pharma, textile, gems and jewellery has helped in this healthy tax collection.

Increased awareness amongst the tax payers has also helped," said R N Tripathi, chief commissioner income tax-1, Gujarat.

Direct tax collections for the state in 2010-11 is Rs 17,782.50 crore against Rs 15,239.70 crore in 2009-10, showing a 16.69 per cent growth.

For the current year, the department has been given a target of Rs 23,363 crore.

"Last year we missed the revised target by a whisker. But this year the target has been raised by more than Rs 6,000 crore. Despite an impressive growth in net collection and advance taxes the department is unlikely to achieve the target of Rs 23,363 crore for which we need a growth of over 30 per cent," said a senior income tax official.