Up to February 10th, 2017, the Income Tax Department has issued around Rs.1.42 lakh crore in tax refunds in response to around 4 crore ITRs (Income Tax Return) filed this fiscal year. This is 41.5% higher than the same time last year, largely due to the expedited issue of refunds of amounts under Rs.50,000 to small taxpayers.
Over 90% of the refunds issued are reportedly for values under Rs.50,000 as small taxpayers are on high priority right now. The IT department has communicated that only 2% of the refunds due to small taxpayers are pending because of taxpayers that haven’t responded to department communications and because some ITRs were filed late.
A statement released by the Central Board of Direct Taxes (CBDT) says “CBDT is committed to ensuring best possible taxpayer services through its e-governance programs and increasing the coverage and scope of electronic filing and processing of various forms and applications”. This diligence and emphasis on efficiency has resulted in 92% of all IT returns being processed within 60 days of their submission.
Apart from the 4 crore ITRs, around 60 lakh other forms were submitted online – 41% more than the same time last year.
Personal income tax collections were also made more efficient and robust, resulting in Rs.5.82 lakh crore being collected by January, 2017 since April last year. This is 10.79% more than the same time last year.