Share on Facebook

Share on Twitter

Share on LinkedIn

Share on Email

Share More

Tax targets go up only to face low collection level

Posted on 19 March 2008,    
 1572 Views   Share Report

New Delhi, Mar 17 In this world nothing is certain but for death and taxes, it is said. But collecting a part of these taxes, estimated at close to Rs 1 lakh crore, is proving to be full of uncertainties for tax authorities.

The revenue department has raised Rs 99,293.04 crore taxes until March 2007, but has been unable to realise or collect it until now due to some reason or the other, according to the Budget document.

Of this direct tax demands, account for the major chunk and are estimated at Rs 79,076 crore. Indirect tax receipts, which have so far not been collected, are estimated at Rs 20,217.04 crore.

Tax officials point out that most of the tax demands, which have so far been raised but not realised are under dispute and with various courts. Some of the cases stretch back to over a decade and a few of them even have their origins in the late 1980s. Direct tax cases under dispute add up to Rs 51,333 crore with Companies disputing tax claims worth Rs 26,603 crore and cases relating to taxes on income other than corporate tax amounting to Rs 24,730 crore.

A large part of the arrear demand for direct taxes are for notified persons under the securities scam and Companies pending liquidation where the tax would not be realised at all, a finance ministry official said.

Meanwhile, indirect tax cases under dispute, total up to Rs 14,191.08 crore. Cases not under dispute but pending for adjudication and including other kinds of arrear demands for indirect taxes amount to Rs 20,217.04 crore. Central excise duty has the largest amount of cases where tax demand has been raised but not collected.


Popular News

caclubindia books caclubindia books caclubindia books Book

Browse by Category