Now Reading: ITR-7 tax liability triples to Rs 1,043 crore in five years
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ITR-7 tax liability triples to Rs 1,043 crore in five years
The total income tax liability of entities filing ITR-7 nearly tripled to Rs 1,043 crore in Assessment Year 2025-26, from Rs 356 crore in AY 2021-22, according to government data presented in…
The Story in Brief
The total income tax liability of entities filing ITR-7 nearly tripled to Rs 1,043 crore in Assessment Year 2025-26, from Rs 356 crore in AY 2021-22, according to government data presented in Parliament. Minister of State for Finance Pankaj Chaudhary disclosed the figures in a written reply in the Rajya Sabha. The increase of Rs 687 crore represents a rise of about 193% over five years.
ITR-7 is used by charitable and religious trusts, political parties, universities, colleges, and research institutions. The data covers tax liability, not total income declared. Exemptions under the Income Tax Act apply to trusts and parties meeting conditions. The sharpest jump occurred between AY23 and AY24, when liability rose from Rs 419 crore to Rs 816 crore, a near 95% increase.
The Indian Opinion
The tripling of ITR-7 tax liability invites two simplistic narratives: that the government is squeezing charitable organisations, or that evasion has finally been checked. The data alone cannot support either. The aggregate figure could reflect higher income, fewer exemptions claimed, or a change in the mix of filers. Without a breakdown by entity type, these numbers raise more questions than answers. The real test will come if the tax department publishes a detailed cause analysis in the next budget reply.
Source: livemint.com
This story was synthesised by AI from the source linked above.
