NEW DELHI: There has been a 41 per cent jump in advance tax (personal income tax filed) and a 25 per cent growth in the number of income tax returns filed for the past financial year, the government said on Monday. This, according to the Central Board of Direct Taxes (CBDT), was triggered by demonetisation as well as the government’s efforts to attack black money.
The number of returns filed till August 5, 2017 was 2.82 crore (2,82,92,955) against 2.26 crore (2,26,97,843) filed a year ago. This shows a 24.7 per cent increase in tax returns against a growth rate of 9.9 per cent in the previous year. The growth in returns filed by individuals is 25.3 per cent with 2.79 crore (2,79,39,083) returns filed till August 5, 2017 against 2.22 crore (2,22,92,864) returns filed in the previous financial year.
“This clearly shows that a substantial number of new tax payers have been brought into the tax net subsequent to demonetisation. The effect of demonetisation is also clearly visible in the growth in direct tax collections,” the statement noted. The last date for filing of income tax returns by individuals and Hindu Undivided Family (HUF) , who need not get their accounts audited, was August 5.
Advance tax collections of personal income tax (other than corporate tax) as on August 5, 2017 showed a growth of 41.79 per cent over the corresponding period in 2016-2017. Personal income tax under self assessment tax grew at 34.25 per cent over the corresponding period in 2016-2017, CBDT said.
In a bid to crack down on unaccounted money, the government had on November 8, 2016 decided to demonetise old Rs 500 and Rs 1,000 notes. Subsequently, the income tax department launched ‘operation clean money’ to clamp down on unaccounted money deposited in bank accounts post demonetisation.