India's direct tax collections up 16% to 6.51 lakh crore

India's net direct tax collections grew by 16.4 percent in the first quarter of the current fiscal year, reaching over 6.51 lakh crore rupees by July 13, according to data released by the Income Tax Department on Tuesday, July 14, 2026. The strong performance was primarily driven by a significant surge in corporate tax revenue, signaling resilient corporate profitability amid global economic uncertainties.

Net corporate tax collections rose 22 percent to approximately 2.40 lakh crore rupees, outpacing the growth in personal income tax, which increased by about 12 percent to over 3.84 lakh crore rupees. Collections from the Securities Transaction Tax showed particularly robust growth, jumping 48 percent to 26,429 crore rupees, a trend attributed to high trading volumes and market volatility. On a gross basis, before accounting for refunds, direct tax collections stood at over 7.73 lakh crore rupees, an increase of 16.11 percent. Refunds issued during the period totaled 1.22 lakh crore rupees, up 14.57 percent from the same period last year.

The government has set a direct tax collection target of 26.97 lakh crore rupees for the full fiscal year FY27, representing a 15 percent...