The net collection of corporation tax for the period April 1 to June 21, 2001, has registered a sharp decline of 61.79 per cent as compared with the corresponding period of the previous year, according to Union minister of state for finance G N Ramachandran.
Net collection of corporation tax for the period under review, at Rs 1,667.83 crore, was lower by Rs 2,697.63 crore when compared with Rs 4,365.46 crore registered during the same period of the previous year. He attributed this drastic fall to heavy refunds made during the said period, especially in Mumbai and Chennai zones.
As against this, the net collection of income tax between April 1 to June 21, 2001 has been Rs 5,639.01 crore as against Rs 5,597.41 crore for the corresponding period of the previous year, which is a marginal increase of 0.74 per cent or Rs 41.60 crore.
More From This Section
Thus the total net collection of corporation tax plus income tax for 2001-02 up to June 21, 2001 was Rs 7,306.84 crore, which is 26.66 per cent lower than Rs 9,962.87 crore for the corresponding period of previous year.
An interesting trend observed during the current year is that, after deducting the refunds issued to corporates, the net revenue collection under the head corporation tax in eight cities is on the negative side, which means the refunds issued exceed the corporation tax collected in these cities.
While this trend of negative collection of corporation tax during 2000-01 was limited to two cities