Direct Tax Collections Register Steady Growth of 7.19% in FY 2025-26; Advance Tax Collections Rise by 6.42% up to 17th March, 2026

The provisional figures of Direct Tax collections for the Financial Year 2025-26 (as on 17th March, 2026) indicate a steady and resilient growth in revenue mobilisation. As per the data released, the Net Direct Tax Collection stands at ₹22,80,236.73 crore, reflecting a growth of 7.19% compared to the corresponding period of the previous financial year, where collections were ₹21,27,375.42 crore.

The Gross Direct Tax Collection for the current financial year has reached ₹27,14,748.29 crore, marking a growth of 4.86% over the gross collection of ₹25,88,949.14 crore recorded during the same period last year. Meanwhile, refunds issued during FY 2025-26 amount to ₹4,34,511.56 crore, which is lower by 5.86% compared to ₹4,61,573.72 crore issued in the corresponding period of FY 2024-25, thereby contributing to higher net collections.

A closer look at the components of tax collections reveals that Corporate Tax collections have shown stable performance, while Non-Corporate Tax collections, which include taxes paid by individuals, HUFs, firms, and other entities, continue to contribute significantly to the overall growth. Securities Transaction Tax (STT) has also witnessed a marginal increase, indicating sustained activity in the capital markets.

In terms of advance tax collections, the data reflects a positive trend. Advance Tax collections for FY 2025-26 stand at ₹11,13,106.15 crore, registering a growth of 6.42% over the previous year’s collection of ₹10,45,969.71 crore. Within this, Corporate Advance Tax has grown by 9.54%, reaching ₹8,29,877.61 crore, while Non-Corporate Advance Tax collections stand at ₹2,83,228.54 crore, showing a marginal decline of 1.78%.

Overall, the data highlights continued buoyancy in direct tax collections, supported by improved compliance, stable economic activity, and efficient tax administration. The increase in net collections coupled with a rationalised refund outflow underscores the Government’s sustained efforts towards strengthening revenue mobilisation while ensuring timely processing of taxpayer refunds.

The Data can be accessed at: https://incometaxindia.gov.in/news/direct-tax-collections-for-fy2025-26-as-on-17-03-2026.pdf