New Delhi: Direct tax collections fell Rs6,000 crore short of the government’s Rs3.45 lakh crore target for fiscal 2008-09, as corporate earnings were badly hit by a slowing economy.
This was despite the government lowering the collection target from Rs3.64 lakh crore to Rs3.45 lakh crore to allow for the dent the economic crisis could make on its revenues.
Corporate tax, one of the main components of direct taxes, stood at Rs2.13 lakh crore, woefully short of the revised estimates of Rs2.22 lakh crore, while personal income tax beat expectations by ringing in Rs1.24 lakh crore against the target of Rs1.23 lakh crore.
“Net direct tax collections during the fiscal 2008-09 stands at Rs3,38,212 crore during 2007-09,” an official release said here on Thursday. The collections were up 8.33% from Rs3,12,202 crore in 2007-08 fiscal, it said.