Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks


Login Failure
(Please do not use this option on a public machine)
  Sign Up | Forgot Password?  

IT Returns Filing Increased Substantially After Demonetisation
Jan 23, 2019

Nobody likes it.

But taxes are an integral part of nation-building.

For any nation's progress, taxation plays a vital role.

If any country is to accelerate its growth rate, tax collection must go up.

This is measured by a very simple number: the tax-to-GDP ratio.

For many years, India's tax-to-GDP ratio remained way below global standards.

In 2016, India's tax-to-GDP ratio was 16.6%.

This was much lower than the average for emerging market economies of 21% and well below the average for developed nations of 34%.

Since then, things have changed for the better. Demonetisation and GST have completely turned things around.

The argument about whether demonetisation was good or bad for the economy refuses to die down.

But there's one thing I know for sure. More people are paying taxes than ever before.

In FY17, due to demonetisation, about 9.1 million new taxpayers were added to the official numbers. The government's revenue increased by 14.6%.

In FY18, the tax collection increased by 17%.

Data Source: CBDT

This Chart Of The Day was published in The 5 Minute WrapUp - 2 Reasons Why Rebirth of India Will Drive the Sensex to 100,000

Equitymaster requests your view! Post a comment on "IT Returns Filing Increased Substantially After Demonetisation". Click here!


Our Most Popular Charts

India's #1 Trader
Reveals His Secrets

The Secret to Increasing Your Trading Profits Today
Get this Special Report, The Secret to Increasing Your Trading Profits Today, Now!
We will never sell or rent your email id.
Please read our Terms