Demonetisation: FM Jaitley dismisses slowdown concerns, says higher tax mop up indicates uptick in economic activity

New Delhi: Dismissing worries of log jam because of demonetisation, Finance Minister Arun Jaitley on Monday said that the circuitous and direct expense accumulations amongst April and December this year expanded by 25 percent and 12.01 percent individually contrasted with a similar period a year ago.

FM additionally said that the demonetised notes had no part to play in the duty accumulations for December as individuals were permitted to pay charges in the spiked money just in November.

Last November, Prime Minister Narendra Modi had rejected 500-and 1,000-rupee certified receipts as a component of a crackdown on duty

"The figures for direct duty accumulations up to December, 2016 demonstrate that net accumulations were at Rs. 5.53 lakh crore which is 12.01 percent more than the net accumulations for the relating time frame a year ago. The figures for circuitous expense accumulations (focal extract, benefit assessment and traditions) up to December 2016 demonstrate that net income accumulations were at Rs 6.30 lakh crore, which is 25 percent more than the net accumulations for the relating time frame a year ago," Jaitley said.

FM @arunjaitley briefing media : April to December Direct Tax Growth Rate 12.01% and Indirect Tax Growth Rate 25% over last year.

— Ministry of Finance (@FinMinIndia) 9 January 2017

Key highlights of Jaitley's announcement:

Focal Excise expanded 31.6% in December 2016 when contrasted with December 2015.

In December 2016 contrasted with last December, the traditions has really declined, it is - 6.3%.

Contrasted with November 2016, the development of Indirect expense in December 2016 is 12.8%.

Coordinate charges for the initial 3 quarters has climbed, roundabout duties essentially climbed.

For most States VAT accumulations have expanded.

The Supreme Court order stopping Aircel from putting off its spectrum and licences through a proposed merger with Reliance Communications is a befitting response to its promoters dismissing Indian laws. Aircel is owned through Malaysian organisation Maxis, whose Indian origin promoter Ananda Krishnan has been charge sheeted with the aid of the primary Bureau of an investigation, in one of the 2G spectrum rip-off cases. he's accused of conspiring with former Union Telecom Minister Dayanidhi Maran, who abused his legitimate role to allegedly coerce Aircel’s former owner C Sivasankaran to promote majority stocks to Krishnan’s Maxis. In its charge sheet, the CBI alleged that Maran pocketed kickbacks of Rs 642 crore for facilitating the deal. in spite of the 2G special courtroom issuing more than one summons and warrants, Ananda Krishnan, a Malaysian citizen, did not seem.

Even though the courtroom is slated to frame prices, it's going to no longer be capable of continuing with the trial against Krishnan except he appears in individual to protect himself. The merger could have created a Rs 65,000 crore telecom giant, allowed RCom and Airtel to switch their debts to the brand new entity, and similarly capitalise on the deal with the aid of diluting their stakes. The preferred courtroom stayed the sale and trading of the licences and spectrum noting that spectrum changed into a “very precious aid” on which a whole lot of cash may be made. The courtroom cited that if that money was earned resulting from fraud and Krishnan was not dealing with the criminal procedure, “then we can't allow that cash to be earned by way of all of us”. The loudest grievance in opposition to the perfect court docket for the duration of the UPA-II years has been that courts had been hurting funding through judicial activism.

If judges ought to appearance past the constitutionality and legality of cases and additionally factor within the fallout of their choices, it's miles impossible for justice to be delivered. The excellent court docket judgment ruling that scarce herbal assets must be auctioned raised a hue and cry from telecom operators and the energy sector complaining that business would turn unprofitable and charges might growth for purchasers. not anything like that has taken place and telecom and power tariffs have rather declined. If company malpractice is to be checked there may be no better entity in India apart from the judiciary. In a comparable case of a business enterprise wanting to exit u . s ., a court seized the property of Union Carbide business enterprise which caused the Bhopal fuel catastrophe and the proceeds from the sale went to putting in a tremendous-forte health facility. If Krishnan wants to shop the Aircel-RCom deal, he must return and show his innocence. India has numerous non-resident tycoons, and the SC order sends a hard message to folks who evade the regulation.