In the revised estimates, presented by Finance Minister Arun Jaitley in the Budget for 2016-17, the tax collection was pegged at Rs 14.55 lakh crore, higher than the original Budget estimate of Rs 14.45 lakh crore.
While indirect taxes collections have exceeded revised estimates (RE) by Rs 9,885 crore, direct tax realisations fell short by Rs 4,000 crore over the RE.
"The actual collection (provisional) is Rs 14.60 lakh crore. The total collection has exceeded the RE and represents a growth of 17.6 per cent compared with the last financial year," a finance ministry statement said.
The indirect tax revenue exceeded budget estimates (BE) for 2015-16 by Rs 65,618 crore and the RE by Rs 9,885 crore. The collection represents a growth of 31.1 per cent over 2014-15.
Also Read
Another amendment was to effect the rollback of monetary
limit of Rs 1.5 lakh per annum provided for contribution by the employer in recognised Provident Fund for the purpose of tax benefit to the employee.
To provide relief to newly setup domestic manufacturing companies, the Budget for 2016-17 provided for an option at the hands of companies to pay tax at 25 per cent if it does not claim any exemption.
Also, the option is to be exercised by the company on or before the due date of filing of first return of income. "The option once exercised cannot be changed in any subsequent year," the amendment said.
Another amendment provided for a person availing of 10 per cent flat tax on gross basis on income derived from royalty on patent developed and registered in India, will remain in the regime for five years.
It also provided that 75 per cent of the total expenses incurred for developing patent shall be incurred by the resident himself in India.
While the Finance Bill 2016 provided concessional 9 per cent MAT in case of units located in IFSC and incorporated on or after April 1, 2016, an amendment deleted the condition of being set up on or after April 1, 2016.
While the Budget provided for deduction of 10 per cent tax by Category - I & II Alternate Investment Fund (AIFs) on payments made to a resident investor and at the "rates in force" where the payee is a non-resident, an amendment provided for no deduction in case of a non-resident.
In order to bring high value transactions within the tax net, the Finance Bill, 2016 made it mandatory for seller to collect one per cent tax from the purchaser on sale of motor vehicle of the value exceeding Rs ten lakh.
Yet another amendment extended the immunity in case assessee pays tax on under-reported income and does not file any appeal against the assessment order, to include exemption from initiation of proceedings. Earlier immunity was granted from levy of penalty for under reported income and prosecution.