As of January 12, 2025, India's direct tax collections have shown remarkable growth compared to the same period in FY 2023-24. According to the latest data, net direct tax collections, after refunds, have increased by 15.88%, reaching ₹16,89,928 crore.
Key Highlights
Gross Collections:
- Gross direct tax collections surged to ₹20,64,369 crore, reflecting a 19.94% growth over last year’s ₹17,21,168 crore.
- Significant contributors included corporate tax (₹10,45,088 crore) and non-corporate tax, which encompasses taxes paid by individuals and other entities (₹9,71,875 crore).
Refunds:
- Refund issuance rose substantially, amounting to ₹3,74,441 crore, a 42.49% increase from ₹2,62,789 crore in FY 2023-24.
Securities Transaction Tax (STT):
- STT collections nearly doubled from ₹25,415 crore last year to ₹44,538 crore this year, demonstrating a robust performance in financial markets.
Other Taxes:
- Other tax categories, including Equalization Levy and Wealth Tax, saw collections of ₹2,819 crore compared to ₹3,187 crore last year.
What’s Driving the Growth?
The surge in direct tax collections reflects the government’s consistent focus on tax compliance and digital reforms, streamlining taxpayer services and expanding the tax base. Corporate tax reforms and buoyant economic activity also contributed to this significant growth.
Looking Ahead
With India’s direct tax system continually evolving, the current trajectory underscores the strength of the nation's fiscal framework. Policymakers are optimistic about achieving the FY 2024-25 target for direct tax collections.
Official copy of the data has also been attached
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