India's direct tax collections have registered a 7% year-on-year growth in the current financial year 2025-26, reflecting continued economic momentum and improved taxpayer compliance. According to official data released by the Income Tax Department, net direct tax collections stood at Rs 12.92 lakh crore as on November 10, 2025, compared to Rs 12.07 lakh crore during the same period last year.
Corporate and Personal Tax Drive Growth
Corporate Tax (CT) and Non-Corporate Tax (NCT), which includes taxes paid by individuals, HUFs, firms, and other entities-together accounted for the bulk of collections.
- Corporate Tax collections: Rs 5.37 lakh crore (up from Rs 5.08 lakh crore last year)
- Non-Corporate Tax collections: Rs 7.19 lakh crore (up from Rs 6.61 lakh crore last year)
This increase signals healthy corporate profitability and robust personal income growth across sectors.
Refund Outgo Moderates
Refunds issued up to November 10, 2025, totalled Rs 2.42 lakh crore, compared to Rs 2.95 lakh crore during the same period last year, a decline of nearly 18%. The moderation in refunds has contributed to higher net collection growth.
Gross Collections and Other Taxes
Gross direct tax collections touched Rs 15.35 lakh crore, up from Rs 15.02 lakh crore a year earlier. Within this, Securities Transaction Tax (STT) contributed Rs 35,682 crore, while other taxes added Rs 334 crore.
Steady Momentum in Direct Tax Performance
The data underscores the government's ongoing efforts toward tax base expansion, improved compliance through digitization, and stable revenue performance amid evolving global conditions. The 7% growth rate places direct taxes firmly on track to meet the full-year Budget targets.
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