I-T revenue on rise in first month of the year

In a change of fortune, income-tax collection in Rajasthan has improved in the first month of this year. Till November, the state was trailing in I-T revenue collection by nine percent compared to the previous financial year.

However, the state has bridged the gap as the I-T revenue collection in January this year was Rs 12814.10 crore whereas it was Rs 12815.90 in January 2017.

Demonetization and GST affected not just business activities but also government exchequer. The south bound growth in I-T revenue collection had tax officials scurrying for increase in tax collection anyhow. A key reason for the drop in revenue was transfer of SBBJ account to Mumbai after the bank was merged with SBI.

The department pulled up its socks to recover direct tax revenue. Notices were sent to individual tax payers who didn’t file I-T return despite depositing huge money during demonetization. The investigation wing also conducted raids that helped reduce the gap. Bikaner and Jodhpur II lead the pack in tax collection in the state.

Yet, Rajasthan is still in reds compared to the national I-T revenue collection, which is showing a robust growth of 18.7% by the end of January 2018. Despite the efforts, the state is still narrowly behind the previous year’s tax collection in January. They will need more than what is being done till now to achieve the target allocated to them. 

To meet the challenge of negative growth, the I-T commissioner offices and investigation wing will have to work in tandem else tax payers will have to face departmental actions indicated by chief income-tax commissioner, Meeta Nambiar.