The government is optimistic about achieving its budgeted direct tax collection target for 2025-26, Central Board of Direct Taxes (CBDT) Chairman Ravi Agrawal said on Monday. For the current fiscal, the Centre has set an ambitious target of Rs 10.82 lakh crore in corporate tax and Rs 14.38 lakh crore in personal income tax.
Speaking on the gap between the budgeted collection pace and the actual mop-up recorded in the first half of the year, Agrawal emphasised that the process is still underway."This is a continuous process. The due date for filing tax returns has now been extended to December 10, when more self-assessment tax will also come in," he said.
He added that the government expects substantial inflows during the upcoming advance tax deadlines on December 15 and March 15, which should help bridge the gap."Taken together, I'm confident that by the end of the year we would meet the target," Agrawal noted.
Collections Cross Rs 12.92 Lakh Crore So Far
As of November 10, direct tax collections stood at Rs 12.92 lakh crore, supported by stronger corporate tax receipts and slower disbursal of refunds. Gross collections before refunds grew 7% year-on-year during this period.
Addressing concerns around refund delays, Agrawal clarified that the department is scrutinising certain high-value and system-flagged refund claims."We hope to release the remaining refunds by this month or December," he assured while inaugurating a taxpayers' lounge at the India International Trade Fair (IITF).
FY26 Growth Outlook Strong Despite Tax Relief
For FY26, the Union Government has projected direct tax collections to grow 13.2% to Rs 25.2 lakh crore, up from Rs 22.26 lakh crore in FY25, despite significant income-tax relief measures announced in the Union Budget.
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