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Number of Millionaire Taxpayers Quintuples in India as Economy Booms

India sees a fivefold increase in millionaire taxpayers, reflecting economic growth and rising tax compliance, with direct taxes now contributing over 56% of total revenue

Taxpayer

According to recent data, India’s economy has seen a dramatic rise in millionaire taxpayers, with the number increasing fivefold over the past decade. The Hurun India Rich List reports that the country now has 334 billionaires, while millionaire taxpayers have surpassed 220,000—a significant jump from just 44,000 in 2013. This surge in wealth accumulation has been highlighted by the SBI Economic Research report, which notes the number of individuals declaring assets over ₹1 crore has soared.

Personal Income Tax Collections Outpace Corporate Tax

The report from SBI Economic Research reveals that due to ongoing tax reforms, direct taxes now contribute 56.7% of India’s total tax revenue—up from 54.6% in 2023 and the highest in 14 years. Personal income tax collections have now exceeded corporate tax revenues, with total taxpayers rising 2.3 times in the past decade, reaching 86.2 million for the assessment year 2024. The most significant growth is seen among those earning above ₹1 million annually.

Rise of the Middle Class and ITR Filings

SBI’s report also indicates rapid growth in India’s middle class. While those earning between ₹150,000 and ₹500,000 were prominent in the assessment year 2014, the bracket has now shifted to earnings of ₹250,000 to ₹1 million. Additionally, women now make up 15% of taxpayers, and annual ITR filings continue to rise. Soumya Kanti Ghosh, SBI’s Chief Economic Advisor, noted that government initiatives targeting low-income groups have helped expand the tax base.

Billionaire Growth and Tax Compliance

India’s wealth landscape continues to expand, with 75 new billionaires added in the past year, totaling 334 as per the latest Hurun India Rich List. The number of income tax returns has also grown, with 73 million filed this year, projected to exceed 90 million by March 2025.

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