As against the budget target of Rs.38,316 crore for the current fiscal, the Tamil Nadu and Puducherry region has recorded gross income tax collection of Rs.19,068 crore until now, marking an increase of 23 per cent against the corresponding period last year, according to G.C. Jain, Chief Commissioner of Income Tax (CCIT), Chennai.
Mr. Jain said the tax collections raked in up to November 3, 2011 represented the first two quarters of advance tax for corporates and the first quarter for individuals and firms. Owing to the mammoth refund drive, the outflow during the period under review was Rs.2,730 crore, registering 101 per cent growth against the same period in the last fiscal. Tax Deduction at Source (TDS), one of the major revenue contributors, achieved 51 per cent of the budget target of Rs.16,290 crore, allotted under this head.
Reviewing the tax collections of the region for fiscal 2011-12, he said, “Despite the robust refund outflow, the net tax collection of Tamil Nadu and Puducherry region stood at Rs.16,338 crore, marking an increase of 16 per cent.
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The net inflow to the exchequer amounted to 42 per cent of the budget target for this region. The tax collection parameters of this region are higher than the all-India average.”
The advance tax collections of the corporate sector up to September 2011 registered highest growth rate of over 40 per cent compared to the previous year. Sectors such as jewellery, software, cement, banking, manufacturing and refineries recorded growth rate in excess of 40 per cent.
Consistent effort has been put in to increase the awareness regarding TDS and its collection. Keeping in mind the economic growth of the region, the department is consistently monitoring the tax collection and also the advance tax payments of the corporate, business houses and individuals to forecast the revenue for the fiscal 2011-12 and to motivate them to pay the advance tax instead of self-assessment tax, he said.
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