India’s net direct tax collection rises 6.3% to ₹11.89 lakh crore so far in FY26

India’s net direct tax collection rose 6.33% year-on-year to ₹11.89 lakh crore as of October 12 in the current fiscal year, driven by stronger corporate tax receipts and a decline in refund issuances, government data showed.

The increase came even as refund payouts fell 16% to ₹2.03 lakh crore during April 1–October 12, 2025.

During the same period, net corporate tax collection rose to ₹5.02 lakh crore from ₹4.92 lakh crore a year earlier. Non-corporate tax receipts, which include individual and Hindu Undivided Family (HUF) taxpayers, climbed to ₹6.56 lakh crore from ₹5.94 lakh crore in the year-ago period.

Collection from the Securities Transaction Tax (STT) was ₹30,878 crore, marginally higher than ₹30,630 crore a year earlier.

Overall, gross direct tax collection, before adjusting for refunds, stood at ₹13.92 lakh crore, reflecting a 2.36% increase from the same period last year.

For the full financial year 2025–26 (FY26), the government has targeted ₹25.20 lakh crore in direct tax revenue - a 12.7% rise from FY25 - and aims to collect ₹78,000 crore from STT.

(with inputs from PTI)