INCOME TAX PAID BY INDIANS-AN OVERVIEW

               Income Taxes paid by Indians-Overview and Numbers

One would be surprised with some of the numbers. According to the report released by Indian Finance Ministry,  estimated number of taxpayers for previous financial year stands at just 3.24 Crore people. That means, less than 3 people in 100 pay taxes

Out of these 3.25 Crore people, 89% pay taxes in the tax slab of 0 – 5 Lakh rupees, while on the other end of spectrum, only 1.3% of all tax payers have income about 20 Lakh!

Slab                 No.of Tax payers        %age   Amount                       %age of tax

0-5 Lakh          288.4 Lakh people       89%     15,010 crores              10% of total revenue

5-10 lakh         17.88 Lakh people       6%       21,976 crores              15%------Do----

10-20lakh        13.88 Lakh Pople        5%       17,858 crores              12%------Do----

>20 Lakh         4.06 Lakh people         1.3%    93,229 crores              63%------Do----

The DATA ABOVE clearly shows the inequality in the earnings of Indian people – Imagine, in a country of 120+ crore people, only 4 lakh people earn above 20 lakh rupees a month.

Now, if you consider that many cheat when it comes to taxes, even then the numbers are so skewed that it is mind-boggling.

The biggest surprise,only 1.3% of all tax payers earn more than 20lakhs in india,they account for a whopping 63% of all tax collected by Indian Government.So 4.6 lakhs Indians pay a total of 93,229 cror rupees of tax.This comes to an average of roughly 23 lakh per person.