The Income-Tax Department has issued refunds worth ₹1 lakh crore to 1.75 crore assessees in the 10 months of this fiscal up to January 31, Revenue Secretary Hasmukh Adhia tweeted on Monday.
The Central Board of Direct Taxes had in December asked field formations to expedite all refund claims of ₹50,000 or less that had not been selected for scrutiny. At the time, about 15 lakh claims amounting to ₹5,469 crore were pending with the department.
Adhia said the move has created major relief for tax payers. “This demonstrates government’s intention to create a tax-friendly environment,” he tweeted.
The move comes even as the Centre expects a shortfall of about ₹30,000 crore in direct tax collections this fiscal. Net direct tax collections till December 31 amounted to ₹4,91,771 crore. The Budget has targeted gross direct tax collections of ₹7,97,995 crore for the fiscal.
By September last year, the Central Processing Centre had issued refunds to 22.14 lakh tax payers for the assessment year 2015-16.