Coronavirus outbreak: Direct tax shortfall likely to touch a 20-year high

India’s direct tax collection for the current fiscal year ending March 31 is likely to see a whopping shortfall of about Rs 1.5 trillion compared to the revised estimates (RE). This is set to take place for the first time in at least two decades, derailing the government’s fiscal deficit goals.

According to senior officials, the income tax department estimates total collection to be between Rs 10.5 trillion and Rs 10.7 trillion against the revised target of Rs 11.7 trillion. However, the exact figures may come by April 1.

Tax officials attributed the acute shortfall to the global pandemic. But