It is extremely expensive to govern a whole nation, especially one as big and populated as ours. The government’s ability to carry out civil operations is made possible by the taxes we pay. In other words, the government couldn’t run the country if taxes weren’t collected.
Based on their revenue, both individuals and corporations in India are required to pay direct taxes. The method used to calculate taxes might vary depending on costs, tax kinds, deductions, income, and exemptions, to name a few. No matter how much money a company makes, it must pay taxes at the appropriate tax rates.
So are you also wondering who are the highest taxpayers in India? Continue reading the article to know who pays the highest tax and how much through our list of the top ten highest taxpayers in India.
1. Tata Consultancy Services
A public limited business called Tata Consultancy Services, or TCS, was founded in 1995. It is a part of the Tata Group and works in 150 locations across 46 nations around the globe. A study from July 2022 indicated that TCS employed more than 600,000 workers globally. The top Big Tech (India) company is TCS, which ranks among the most valuable IT service companies globally and is the second-largest Indian corporation by market value. It offers a variety of technical services to international corporations, including data analytics, software and IT services, and cyber security platforms. TCS paid a sum of 11,536 crore rupees in taxes which is 6.8% of their total revenue.
2. Tata Steel Limited
Tata Steel is a publicly traded company that was established in 1907. With an annual capacity of 35 million tonnes of crude steel, Tata Steel, formerly known as Tata Iron and Steel Company Limited (TISCO), is one of the leading producers of steel in the world. It is a significant Tata Group business and a multinational steel production corporation with headquarters in Jamshedpur. They offer hot and cold rolled sheets, automotive steel, and other products and services. The company paid a sum of Rs. 11,079 crores to the Indian government as tax which is 8.4% of its annual revenue.
3. JSW Steel
Founded in 1994, JSW Steel is a publicly traded, steel-producing corporation. JSW Steel, India’s second-largest private-sector steel producer, was formed by the merging of Bhushan Power & Steel, Ispat Steel, and Jindal Vijayanagar Steel Limited. They offer a variety of goods, including TMT bars, color-coated goods, and galvalume items. JSW Steel contributed Rs. 8,013 crore in taxes to the Indian government in FY 2022 which is 6.6% of its whole revenue.
4. Life Insurance Corporation of India (LIC)
LIC is a public sector life insurance company with its main office in Mumbai. It is India’s largest insurance company and institutional investor, with total assets valued at around 45.7 trillion as of March 2023. The Ministry of Finance has administrative responsibility over it and the Government of India owns it. This biggest insurance provider was established in 1956. LIC paid a sum of Rs. 7,902 crores to the Indian government as tax which is 2.9% of their entire revenue.
5. Reliance Industries
One of the most well-known conglomerates in India is Reliance. By market capitalization and sales, Reliance is the largest publicly traded corporation in India and the 100th largest firm globally. It accounts for 7% of all goods exported from India and is both the largest private taxpayer and exporter. Reliance, owned by Mukesh Ambani, is one of India’s major taxpayers, providing goods and services to oil and gas, retail, media, telecommunications, and other industries. Taxes paid by Reliance Industries to the Indian government totaled Rs. 7,702 crore, or 1.65% of its total income.
6. Indian Oil Corporation
Indian Oil, an integrated oil corporation, was founded in 1959 with the company’s headquarters in Mumbai. The responsibility for managing the operations of this public sector undertaking falls to the Ministry of Petroleum and Natural Gas. As of 2022, Indian Oil is listed as the 142nd largest corporation in the world on the Fortune Global 500 list. The corporation runs India’s most extensive network of fuel and diesel stations. The company paid taxes totaling Rs. 7,549 crores for the fiscal year 2022.
7. Infosys
Infosys is an Indian firm that provides global technology consulting and outsourcing services. Infosys, which is ranked as the 602nd largest public company in the world by Forbes Global 2000, is the second-largest Indian IT company after Tata Consultancy Services, according to forecasts for 2020 revenue. They offer their clients services in blockchain, the Internet of Things, artificial intelligence and automation, as well as data analytics. The company paid tax of Rs. 7,260 crore which is 6.7% of its sales.
8. ITC
The Kolkata-based ITC Limited was established in 1910. They offer goods from a variety of businesses, including food, tobacco items including cigarettes and cigars, paper goods, toiletries, and stationery. The company is made up of 13 businesses in 5 market sectors and exports its products to 90 different countries. There are six million retail locations where its products are sold. ITC raised Rs 4,771 crore in taxes, or 7.6% of its income, making it one of the top 10 taxpayers in India for FY 2022.
9. Hindustan Zinc
One of India’s largest producers of integrated goods using zinc, lead, and silver is Hindustan Zinc. The company is situated in Udaipur and was founded in 1966. It is a subsidiary of Vedanta Limited. When Atal Bihari Vajpayee and the Bharatiya Janata Party were in power in 2003, the Government of India sold Vedanta Limited what had once been a Central Public Sector Undertaking. It paid the government a tax of Rs. 4,471 crore which is 14.5% of their revenue to rank among the top 10 tax-paying businesses in India.
10. NTPC
NTPC was established in 1975 as a public limited corporation. An Indian central PSU owned by the Indian Ministry of Power is NTPC Limited, formerly known as National Thermal Power Corporation. It is engaged in the production of electricity and related operations. It offers services and goods for consulting, coal mining, producing energy from coal, gas, and other sources, and many other things. This power utility company paid taxes of Rs. 4366 crore which is 3.6% of its revenue.
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The final words
A business’s income directly affects the tax it pays. The amount of tax paid rises as income does. In India, taxes are calculated for businesses based on a number of variables, including the tax type, the company’s earnings, outlays, deductions, and exemptions, among others. According to research published over the weekend by Mint, Tata Consultancy Services (TCS) paid the most taxes of any other Indian firm in 2022, followed by Reliance Industries and the software giant Infosys. Besides there are several companies and individuals who pay large amounts of money as tax. But those are the top ten companies that have paid the highest taxes. We hope you found this article informative and now you know who are the top ten taxpayers in India.