ADVANCE TAX COLLECTION Auto, IT firms lead growth surge SHRIMI CHOUDHARY such as State Bank of India (SBI) and KEY CONTRIBUTORS New Delhi, 22 June ICICI Bank reported lower (but dou- Amount paid (in ~ cr) YoY growth (%) ble-digit) growth in tax payment. Maruti Suzuki 150 200 Tech Mahindra 190 35 Sharp growth in advance tax payment According to officials, the first- by India Inc has been led mainly by quarter numbers have been compared Hero Motocorp 126 96 SBI 1,910 21 automakers and technology giants with the beginning of the pandemic- TCS 1,160 65 HUL 397 20 including Maruti Suzuki, Hero induced lockdown, so automatically L&T 30 50 Cipla 126 20 MotoCorp, Tata Consultancy (TCS), the figures showed a sharp jump. The and Infosys. second instalment will have a clearer P&G 32 45 NTPC 485 10 These four companies reported a picture, they said. Infosys 720 44 Dr Reddy’s 60 9 jump between 44 per cent and 200 per Meanwhile, final advance tax col- ICICI Bank 800 39 HDFC Bank 2,100 8 cent in the April-June quarter of this lection by companies showed 51 per financial year on account of a low base. cent growth (YoY) for the first quarter. Note: Figures for April 1-June 21 Source: CBDT sources Even top financial institutions Turn to Page 13 > > FROM PAGE 1 Auto, IT firms lead growth surge Earlier, the preliminary data impact on the companies’ increased its tax outflow by Suzuki paid ~150 crore. showed a growth rate of 146 growth. 35 per cent at ~190 crore. FMCG companies includ- per cent, which has now been Companies and individu- Automotive majors and ing Hindustan Unilever, revised downward. Direct tax als are required to pay 15 per fast-moving consumer goods Procter & Gamble, and Nestle collection (net) stood at ~2.33 cent of their tax liability as the firms too seem to have gained also led the table and report- trillion. first instalment in the first from the markets opening up ed growth up to 45 per cent. Heavyweights such as quarter of the financial year. and pent-up demand, which The three paid ~397 crore (up Reliance Industries, Tata According to official fig- is buoyant in some cate- 20 per cent), ~32 crore (up 45 Motors, HDFC, and ITC are ures, TCS paid ~1,160 crore, a gories. For instance, the tax per cent) and ~105 crore (up yet to pay their first instal- jump of 65 per cent, owing to outgo of Hero MotoCorp and 17 per cent), respectively. ments. Sources in the rev- robust demand in order flows Maruti Suzuki zoomed 95 per ICICI Bank saw a jump of enue department said robust as the pandemic accelerated cent and 200 per cent, respec- 39 per cent with a tax pay- advance tax collection digitisation. This was fol- tively. ment of ~800 crore. HDFC showed state-wise local lowed by Infosys, which paid Hero MotoCorp paid ~126 Bank paid ~2,100 crore, which restrictions amid the second ~720 crore, a growth rate of 44 crore against ~64 crore in the is 7.7 per cent higher than in wave might not have much per cent. Tech Mahindra also same period last year. Maruti the same period last year.