Direct tax collections surge 3.2 pc to Rs 6.64 lakh crore so far in 2025-26

NEW DELHI: India’s direct tax collections, in gross terms, have witnessed a robust growth of 3.2 per cent year-on-year so far in 2025-26, reaching Rs 6.64 lakh crore, data released by the Central Board of Direct Taxes (CBDT) showed. In 2024-25 same period, it was Rs 6.44 lakh crore.

This rise in collections is attributed to higher corporate tax revenues and securities transaction tax (STT) receipts. Non corporate tax, however, trails.

Direct taxes are the taxes that individuals and businesses pay directly to the government. They include income tax, corporate tax, and securities transaction tax. Other taxes, including wealth tax, saw a decline from Rs 1,422 crore to Rs 273 crore.

After accounting for refunds, which also saw a significant jump of 38.01 percent, the net direct tax collection stood at Rs 1.01 lakh crore so far in 2025-26. The rise in tax collections is a positive sign for India’s fiscal health, as it strengthens the government’s revenue base and reduces dependence on borrowing.

It also suggests economic resilience despite global uncertainties. Higher tax revenues may allow the government to increase public spending on infrastructure, social welfare, and other key sectors, boosting overall economic growth. (ANI)