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Individuals who have declared over Rs 1 crore in taxable income in their ITR has increased fivefolds, that is, from 44,078 in assessment year (AY) 2013-14 (financial year 2012-13) to just under 2.3 lakh in AY2023-24 (FY2022-23).
This might be a clear indicator of better earnings and improved compliance, a TOI report stated.
As per the latest data from the tax department, the number of tax returns that have been filed by individuals climbed up from 3.3 crore to over 7.5 crore, amounting to a rise by 2.2 times.
The report further mentioned that the percentage of salaried people who declared their income over Rs 1 crore, in the assessment year 2022-23 was 49.2 per cent , and to 51 percent in the assessment year 2013-14. However, it went to 52 per cent in the last assessment year.
Only one person declared over Rs 500 crore income in assessment year 2013-14, while in the two declared their incomes in the Rs 100-500 crore income group.
In the last assessment year, the number of people who declared their income of more than Rs 25 crore decreased from 1,812 to 1,798. This was in comparison to the annual assessment 2022-23.
There was a decline of 4.7 per, from 1,656 to 1,577, in the over Rs 10 crore group, the report added.
“Reflecting the growth in income levels, individuals in the Rs 4.5 lakh to Rs 9.5 lakh income brackets accounted for 52 per cent of the income tax returns filed during AY2023-24, compared to the 54.6 coming from Rs 1.5-3.5 lakh segments in AY 2013-14,” the publication said.
As per the report, one out of every four ITRs filed was within the Rs 5.5 to 9.5 lakh income category, while one out of every five came from the Rs 2.5 to 3.5 lakh income category.
In comparison with 18 per cent in assessment year 2013-14, the Rs 5.5 to 9.5 lakh group has leveled up in terms of gross total income, thus accounting for over over 23 per cent share.
The publication stated that there are some other changes in terms of income wherein the Rs 10-15 lakh group was the second biggest contributor with a share of over 12 per cent, followed by 10 per cent in the Rs 25-50 lakh income range, the publication added.
On the other hand, during assessment year 2013-14, the Rs 2.5-3.5 lakh group came second with a 12.8 per cent share, the report stated.