India registers significant increase in Indirect Tax collections
New Delhi: Indirect Tax Revenue Collections in India increased from Rs. 36,408 Crore in May, 2014 to Rs. 49,993 Crore during May 2015 thus registering an Increase of 37.3% during the month of May 2015 over the corresponding period in the previous year.
Overall, Indirect tax collections during the first two months of the current fiscal, from April to May, 2015 increased from Rs.69,069 crore (during the corresponding period in 2014-15) to Rs. 96,128 crore and thus registering an increase of 39.2% during April- May 2015 over the corresponding period in the previous year.
These increase was spread across all the three categories- customs, central excise and service tax. Central Excise collections increased from Rs. 11,838 crore in May 2014 to Rs. 21,809 crore during May, 2015 registering an increase of 84.2 %. Central Excise collections during April to May 2015 increased to Rs. 38,535 crore from Rs. 20,493 crore (during April to May 2014) registering an increase of 88%.
Customs collections have increased from Rs.13,539 crore during May, 2014 to Rs.15,700 crore during May 2015 registering an increase of 16.0%. Customs collections during April to May 2015 increased to Rs. 29,986 crore from Rs. 25,094 crore (during April to May 2014) and thus registering an increase of 19.5%.
Service Tax collections have increased from Rs. 11,031 crore in May 2014 to Rs. 12,484 crore during May 2015 registering an increase of 13.2 %. Service Tax collections during April to May 2015 increased to Rs.27,607 crore from Rs. 23,482 crore (during April to May 2014) and thus registering an increase of 17.6.0%.
Responding to the indirect tax collection figures, Union Finance Minister Arun Jaitley said that the these indirect tax collections reflect in part the effect of the additional measures taken by the Central Government, including the Central Excise increase on diesel and petrol, increase in clean energy cess, and the withdrawal of exemptions for motor vehicles and consumer durables. He said that even after taking-out the impact of these additional measures, indirect tax collections have shown an increase of 16.9% in May 2015 over May 2014; and by 12.6% for the two month period April-May 2015 over the same period last year.
The Union Finance Minister further said that the underlying momentum in the economy is improving across all sectors including manufacturing as reflected in healthy Excise collections during the first two months of the Current Financial Year 2015-16.