India’s net direct tax collections grew 9.18% year-on-year to cross ₹10.82 lakh crore as of September 17, 2025, aided by a sharp decline of 23.87% in refunds, according to data released by the Central Board of Direct Taxes (CBDT) on Friday.
Of the total collections, non-corporate tax revenue rose 13.67% to ₹5.83 lakh crore. This category includes taxes paid by entities not registered as companies under the Companies Act.
Net corporate tax collections increased 4.93% to ₹4.72 lakh crore, while Securities Transaction Tax (STT) saw a marginal uptick of 0.57% to ₹26,305.72 crore, the data showed.
On a gross basis, direct tax collections rose 3.39% to ₹12.43 lakh crore, while total refunds issued during the period declined 23.87% to ₹1.60 lakh crore.
Within refunds, corporate refunds – which make up the majority – grew 13.13% to ₹1.23 lakh crore, whereas non-corporate refunds dropped sharply by 63.39% to ₹37,306.72 crore.
Breaking down gross collections:
Corporate tax: ₹5.95 lakh crore
Non-corporate tax: ₹6.20 lakh crore
STT: ₹26,305.72 crore
Other taxes: ₹297.13 crore
Meanwhile, GST collections have also remained robust. India’s GST mop-up for August 2025 stood at ₹1.86 lakh crore, marking a 6.5% year-on-year increase. This is the eighth consecutive month that GST collections have remained above the ₹1.8 lakh crore mark, reflecting sustained economic activity.
Domestic GST revenue grew 9.6% to ₹1.37 lakh crore, while GST from imports declined 1.2% to ₹49,354 crore. GST refunds were down 20% year-on-year to ₹19,359 crore, bringing net GST revenue to ₹1.67 lakh crore, a robust 10.7% increase over last year.
Strong direct and indirect tax collections have significantly strengthened India’s fiscal position and macroeconomic fundamentals. The country’s fiscal deficit stood at ₹4.68 lakh crore, or 29.9% of the full-year estimate, for the April–July period. Net tax receipts during this time amounted to ₹6.6 lakh crore, indicating healthy revenue flows and fiscal stability.
(With inputs from IANS)
