With a 15-20 per cent average increase in direct tax collections in recent years, government revenues are certain to grow, even as the economy becomes more formalised with Indians adopting technology in greater numbers, Finance Minister Arun Jaitley said on Thursday.
Addressing the Comptroller and Auditor General’s (CAG) Accountants General conference here, Jaitley said that other developments like measures against black money and use of technology to monitor transactions have helped increase government’s resources.
“There has been a gradual increase in tax collections at around 15-20 per cent every year,” he said.
“From around 3.8 crore assessees we had till 4 years ago, these had increased to over 6 crore last year and we hope to have between 7.3-7.5 crore tax assessees in the 5 years of our tenure.
“Besides, other factors like the anti-black money measures, the ability to use technology to detect transactions, demonetisation bringing in the compulsion to deposit money in banks have all added to this process,” he added.
The Finance Minister also said that the Goods and Services Tax (GST) had increased the number of taxpayers and hastened the formalisation of the economy.
“There is 74 per cent increase in the number of indirect tax assessees in the first year itself of GST,” he said.