Direct tax collections fell Rs 12,000 crore (Rs 120 billion) short of the Rs 3.87 trillion target last fiscal, largely owing to lower realisation from corporate tax payers.
In the Budget for 2010-11, Finance Minister Pranab Mukherjee had pegged the revised estimate for direct taxes at Rs 3.87 trillion, up from Rs 3.70 trillion of the Budget estimate.
Out of the Rs 3.75 trillion, the government has mopped up Rs 2.44 trillion through corporate income tax, which is lower than the Rs 2.55 trillion target for 2009-10. However, even this Rs 2.44 trillion represented a 15.4 per cent increase over figures of 2008-09.
In 2009-10, the government collected Rs 1.31 trillion through personal income tax, in line with the revised estimate of Budget. The government had mopped up Rs 7,568 crore (Rs 75.68 billion) through securities transaction tax and Rs 498 crore (Rs 4.98 billion) through wealth tax. The wealth tax has shown an increase of 29 per cent and STT of 40 per cent in the last fiscal compared to 2008-09.