Hyderabad: Rs 73,523 crore fresh tax target set

Hyderabad: The Central Board of Direct Taxes (CBDT) has set an all-India budgetary target of Rs 13. 8 lakh crore for the income-tax department for the financial year 2019-20.

In the previous financial year (2018-19), the all-India target was fixed at Rs 11.5 lakh crore.

Of this, the target fixed for the Hyderabad I-T region, which comprises both Telangana and Andhra Pradesh, is Rs 73,523 crore, a jump of over Rs 13,000 crore from the target of Rs 60,845 crore last year.

As for the target set for 2018-19, the Hyderabad I-T region had collected close to Rs 58,000 crore, which was short of the target of Rs 60,845 crore, registering a growth of 19.2 per cent.

A day after the NDA stormed to power, the finance ministry seems to have got down to business straightaway with the CBDT sending a note to the principal chief commissioners of all the 18 I-T regions on Friday informing them about the budgetary targets set for 2019-20.

According to the note, available with Deccan Chronicle, the CBDT officials have fixed the fresh targets keeping in view the revenue potential of each region, which is based on weighted average growth rate of net collections of last three years, giving highest weight to the immediately preceding year.

Of the Rs 13.8 lakh crore all-india target, the corporate tax target was Rs 7,60,000 crore and personal income-tax Rs 6,07,200 crore.

The target fixed for the Hyderabad I-T region is Rs 73,523 crore, of which Rs 34,887 crore is expected to come from corporate tax and Rs 38,636 crore from personal I-T.

For Bengaluru, it is Rs 1,52,533 crore (Rs 75,128 crore towards corporate tax and Rs 77,405 crore personal I-T) and Chennai Rs 92,257 crore (Rs 49,697 crore towards corporate tax and Rs 42,560 crore personal I-T) and for Kochi Rs 21,378 crore (Rs 9,406 crore corporate tax and Rs 11,971 crore personal I-T).

“The statistical growth rate for a region has been further moderated by averaging it out with the all-India targeted growth rate so as to narrow the gap between the all-India growth and the targeted growth rate given to the region,” the CBDT said in the circular.

For the Mumbai region, the target is Rs 4,39,773 crore (Rs 2,76,671 crore as corporate tax and Rs 1,50,302 crore as personal I-T) and for Delhi Rs 1,97,891 crore (Rs 1,25,476 crore as corporate tax and Rs 72,415 crore personal I-T).

“Factors significantly affecting the potential of revenue for a particular region have been taken into account for making necessary adjustments in the regional target so as to allocate the budget estimates reasonably and equitably,” says the circular asking the principal chief commissioners to allocate the targets to the various field units.