CBDT Recovers ₹92,400 Crore in Outstanding Tax for FY 2024-25

The Central Board of Direct Taxes (CBDT) has successfully recovered ₹92,400 crore in outstanding tax as of March 15 for the financial year 2024-25, according to sources familiar with the matter. The recovery encompasses ₹67,711 crore from corporate tax, ₹23,536 crore from personal income tax, and ₹1,100 crore related to non-payment of tax that was deducted at source. These recoveries were facilitated through demand notices issued by the income-tax department.

For comparison, in the previous fiscal year 2023-24, tax officials recorded a recovery of ₹75,000 crore in outstanding tax. With additional taxpayers expected to file revised returns by March 31, it is anticipated that the total outstanding tax recovered this fiscal could reach ₹1 lakh crore, as indicated by an official from the department.

Highest Growth in Direct Tax Collections

Data released highlights the tax zones with the highest year-over-year collection growth in FY25. The net direct tax collections (in crore) for FY24 are noted below:

  • PCCIT Zone:
    • Delhi: ₹163,785.4 (FY25 Growth: 33.4%)
    • Odisha: ₹19,909.7 (FY25 Growth: 22.2%)
    • North West: ₹70,807.1 (FY25 Growth: 15.5%)
    • Kerala: ₹23,245.3
    • Uttar Pradesh (East): ₹17,042.1

The beginning of the financial year saw the CBDT issuing specific instructions aimed at recovering outstanding demands, including targeted zone-wise goals. An official remarked, “We had formulated a detailed action plan with targets. Information from various sources was made available to the tax department to enable more efficient recoveries.

Field officials were directed to focus on cases that were not categorized as “difficult to recover.” Additionally, a special team comprised of the principal commissioner of income tax was established to analyze cases within the “top 5,000” identified as high-priority by the CBDT.

Looking ahead, the CBDT plans to collaborate with other investigative agencies to track down missing taxpayers, signaling a more robust approach to tax recovery efforts.