Mumbai based 100 companies made their advance tax payments for the first three months of the financial year, indicating 14% growth in the fiscal capital, said PP Srivastava, Chief Commissioner, Income tax department.

According to him, this growth rate is nearly half of the one recorded in the last financial year. Nearly 30% growth has been witnessed by the top most companies of India, in the month of March alone. This growth indicates the reasonable increase in the business profits.

“The first quarter advance tax collections are up by 14% compared with corresponding period of previous year. I am very optimistic that in the coming quarter, the advance tax payment will increase”, stated Srivastava. He was glad that the companies have been successful in paying the tax, according to the department’s expectations.

According to the rule of Income Tax department, firms should pay in the first quarter the 15% of the total advance tax, 30% each in the next two quarters and 25% in the last quarter.

Anand Rathi Financial Services Ltd Vice-President, Ashish Chaturmohta said that it was too soon to calculate the success, as only one quarter of the year has passed. Still, other three quarters are left and their result can only decide the actual achievement.