Another feather in Modi govt’s cap: Income tax collections overtake corporation tax for first time in 21 years

Personal tax collection in India was higher than corporate tax collection for the year after 21 years in the financial year 2021. 

New Delhi: The Centre published its accounts for the financial year 2020-21 early this week. Among all the important aspects of the report, the data shows that the personal tax collection was higher than corporate tax collection for the year after 21 years.  Income tax collection for FY21 stood at Rs 4.69 trillion, while the corporation tax collections stood at Rs 4.57 trillion. The calculation points out that income tax collection was Rs 12,000 more than corporation tax collections.  Prior to FY21, income tax collection topped corporation tax 21 years earlier in the financial year 2000-01. At that time, the total direct tax collection was Rs 68,305 crore. Out of this, corporate tax collection was Rs 35,696 crore, personal income tax collection was Rs 31,764 crore and other tax collection was Rs 31,764 crore.