Collections in Mumbai rose only 5%. Slower growth in Mumbai is attributed to hefty refunds. The massive growth in Delhi has helped the region increase its share in total collections to 16.5%, a jump of over five percentage points compared to a year ago.
The region’s growth was much higher than even smaller centres like Chennai and Kolkata which recorded single-digit growth rates during these seven and a half months. “The department has been proactive in paying refunds across the country. But the number should be seen in the context of refunds paid out in Mumbai, which have been quite high,” said an official, without revealing any details.
Another official said that refund claims in Delhi were not high, which were reflected in the gross collection numbers, but these were not immediately available.
The high refunds may also be a pointer to the tax authorities getting large taxpayers in Mumbai to pay higher amounts last March to meet the annual target.