India’s corporate and income tax collection for the current year is likely to fall for the first time in at least two decades, over half a dozen senior tax officials told Reuters, amid a sharp fall in economic growth and cut in corporate tax rates.Prime Minister Narendra Modi’s government was targetting direct tax collection of Rs 13.5 lakh crore for the year ending March 31 – a 17 per cent increase over the prior fiscal year.However, a sharp decline in demand has stung businesses, forcing companies to cut investment and jobs, denting tax collections and prompting the government to forecast 5 per cent growth for this fiscal year – the slowest in 11 years.
