Published: 10 January 2026Business StandardEconomy
Net Direct Tax Collections Cross ₹18.38 Lakh Crore; 8.82% Growth in FY26
AQuick answer
Net direct tax collections at ₹18.38 lakh crore (8.82% growth); non-corporate tax surpasses corporate tax.
Key facts
India's net direct tax collections grew 8.82% to over ₹18.38 lakh crore as of January 11, 2026 (up from ₹16.89 lakh crore in FY25)
Net corporate tax collections rose to ₹8.63 lakh crore; non-corporate tax collections increased to ₹9.30 lakh crore
Gross direct tax collections stood at ₹21.50 lakh crore (4.14% increase); refunds declined 16.92% to ₹3.12 lakh crore
Securities Transaction Tax collections were ₹44,867 crore
Government projected 12.7% growth in direct tax collections for FY 2025-26
Strong personal income tax collections indicate growing formalisation of the economy and rising incomes
India's net direct tax collections grew 8.82% to over ₹18.38 lakh crore as of January 11, 2026, up from ₹16.89 lakh crore in the corresponding period of FY25, according to the Income Tax Department. Net corporate tax collections rose to ₹8.63 lakh crore while non-corporate tax collections increased to ₹9.30 lakh crore.
Gross direct tax collections stood at ₹21.50 lakh crore (4.14% increase). Refunds issued declined 16.92% to ₹3.12 lakh crore, contributing to higher net collections. Securities Transaction Tax collections were ₹44,867 crore. For FY 2025-26, the government has projected 12.7% growth in direct tax collections. The strong personal income tax collections indicate growing formalisation of the economy and rising incomes.
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Mains angle
Question: Discuss the implications of FY26 net direct tax growth crossing ₹18.38 lakh crore and the rising share of non-corporate taxes.
Answer (50 words): As of January 11, 2026, net direct tax collections grew 8.82% to ₹18.38 lakh crore from ₹16.89 lakh crore in FY25. Non-corporate tax (₹9.30 lakh crore) overtook corporate tax (₹8.63 lakh crore). Refunds fell 16.92% to ₹3.12 lakh crore; FY26 growth target stays at 12.7%.
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Linked questionMedium
India's net direct tax collections grew by what percentage to over ₹18.38 lakh crore as of January 11, 2026?
Explanation · Correct answer B
Net direct tax collections grew 8.82% to over ₹18.38 lakh crore, up from ₹16.89 lakh crore in the corresponding period of FY25. Net corporate tax stood at ₹8.63 lakh crore and non-corporate at ₹9.30 lakh crore.
How much did India's net direct tax collections grow in FY 2025-26 as of January 11, 2026?
India's **net direct tax collections** grew **8.82%** to over **₹18.38 lakh crore** as of **January 11, 2026** (up from ₹16.89 lakh crore in the corresponding FY25 period). **Net corporate tax**: **₹8.63 lakh crore**; **Non-corporate tax (personal income tax)**: **₹9.30 lakh crore**. **Gross direct tax collections**: **₹21.50 lakh crore (4.14% increase)**. The government projected **12.7% growth** in direct tax collections for full FY 2025-26.
What is the breakdown of net corporate and non-corporate direct tax collections in India as of January 2026?
As of **January 11, 2026**, India's direct tax breakdown: **Net corporate tax collections**: **₹8.63 lakh crore**; **Non-corporate tax (personal income tax)**: **₹9.30 lakh crore**; combined **net direct tax**: **₹18.38 lakh crore** (up **8.82%** from FY25). **Gross direct tax**: **₹21.50 lakh crore (4.14% increase)**. **Refunds declined 16.92%** to **₹3.12 lakh crore**. **Securities Transaction Tax**: **₹44,867 crore**. Target for FY26: **12.7% growth**.
What does the 8.82% growth in India's direct tax collections signal about the economy in FY 2025-26?
India's **8.82% growth in net direct tax collections** (to **₹18.38 lakh crore** as of January 11, 2026) signals **growing formalisation of the economy** and **rising incomes**, particularly reflected in strong **personal income tax (non-corporate: ₹9.30 lakh crore)** collections. The government projected **12.7% growth** for full FY 2025-26. **Refunds declined 16.92%** contributing to higher net collections. This trend aligns with **7.4% GDP growth** projected by NSO for FY 2025-26.
What is Securities Transaction Tax and how much was collected in FY 2025-26 until January 2026?
**Securities Transaction Tax (STT)** is a tax levied on **stock exchange transactions** in India. As of **January 11, 2026**, STT collections stood at **₹44,867 crore** in FY 2025-26. Overall **gross direct tax collections** were **₹21.50 lakh crore (4.14% increase)**; net collections after **₹3.12 lakh crore refunds (down 16.92%)** were **₹18.38 lakh crore (up 8.82%)**. The government's FY26 target is **12.7% growth** in direct tax collections.
Why did India's refund outflows decline by 16.92% in FY 2025-26 and how did it help net tax collection figures?
**Refunds declined 16.92%** to **₹3.12 lakh crore** in FY 2025-26 (as of January 11, 2026), contributing to higher **net direct tax collections of ₹18.38 lakh crore** (up **8.82%** from FY25). The **gross collections** were **₹21.50 lakh crore**, but lower refunds boosted net figures. **Corporate tax** netted ₹8.63 lakh crore and **personal income tax** ₹9.30 lakh crore. The government projected a full-year target of **12.7% growth** in direct taxes.
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