The number of income tax payers has increased after demonetization. During the period of 09.11.2016 to 31.03.2017, 1.96 crore returns were filed as compared to 1.63 crore returns filed during corresponding period of FY 2015-16 and 1.23 crore returns filed during corresponding period of FY 2014-15.

Demonetisation seeks to create a new ‘normal’ wherein the GDP would be bigger, cleaner and real. This exercise is a part of Government’s resolve to eliminate corruption, black money, counterfeit currency and terror funding.

This was stated by Shri Santosh Kumar Gangwar, Minister of State for Finance in written reply to a question in Rajya Sabha today.

Increase in income-tax payers reported after demonetisation as government links the move to reducing black money and corruption. Demonetisation is associated with a measurable increase in income-tax return filings: 1.96 crore returns were filed between 9 November 2016 and 31 March 2017, compared with 1.63 crore and 1.23 crore in the corresponding periods of the two preceding years. The government frames demonetisation as an instrument to broaden the tax base and promote a cleaner economy by targeting black money, counterfeit currency, corruption, and terror funding.