India’s Net Direct Tax Revenues Rise 8.82% Till Mid-January

India’s net direct tax collections has grown by 8.82% so far in this financial year, as per official data released by government.

The figures is for tax collections up to 11 January 2026, compared to same period last year.Net direct tax collections stand at Rs. 18.38 lakh crore, which is higher than Rs. 16.89 lakh crore record in same period previous financial year. Net collections mean the amount collected after giving refunds to taxpayers.

The growth comes mainly because of lower refunds and steady tax payments from companies and individuals.

Key highlights

• Gross direct tax collections rose to Rs. 21.50 lakh crore, showing growth of 4.14% over last year.
• Refunds drop sharply by 16.92%, fall to Rs. 3.12 lakh crore.
• Lower refunds help to increase net tax collections, even if gross growth is moderate.

Corporate and individual taxes improve

• Corporate tax collections show a good rise in this period. Net corporate tax collections increased from Rs. 7.68 lakh crore last year to Rs. 8.63 lakh crore this year, which indicate better profits and good compliance by companies.
• Non-corporate taxes, which include taxes paid by individuals, small businesses, and professionals, also grow steady. Net non-corporate tax collections rose to Rs. 9.30 lakh crore, compared to Rs. 8.74 lakh crore in same period last year.

Other components

• Securities Transaction Tax (STT) remains stable, which reflects steady activity in stock markets.
• Collections from other small taxes stay relatively small and have little impact on overall growth.

Higher net tax revenues provide the government with more fiscal space to fund:

• Infrastructure projects
• Social welfare schemes
• Capital expenditure

The decline in refunds also suggests smoother tax processing and faster adjustment of past claims.

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