New Delhi: India’s net direct tax collections rose 6.33% to ₹11.89 lakh crore as on October 12, 2025, up from ₹11.18 lakh crore in the same period last year, according to the Income Tax Department’s data. The increase was powered primarily by personal income tax growth of 10.49%, while corporate tax collections rose modestly by just 2%.
Income Tax Outpaces Corporate Tax
Non-corporate taxpayers — including individuals, HUFs, and firms — contributed ₹6.56 lakh crore, compared to ₹5.94 lakh crore last year, showing robust compliance.
Corporate tax collections grew to ₹5.02 lakh crore from ₹4.92 lakh crore, indicating a slower pickup in advance tax payments from the corporate sector.
Corporates gain more through Refunds
Refund outgoes totalled ₹2.03 lakh crore, nearly matching the ₹2.42 lakh crore issued during the same period last year. However, the composition changed sharply between corporate and personal income tax categories.
Corporate Tax Refunds surged by 16.5%, with ₹1.41 lakh crore refunded compared to ₹1.21 lakh crore last year. This means 21.9% of gross corporate tax collections were refunded this year.
Personal Income Tax Refunds, on the other hand, halved to ₹62,359 crore from ₹1.21 lakh crore last year, accounting for only 8.68% of gross non-corporate tax collections.
This contrasting trend highlights how corporate refund settlements have accelerated, while personal refund processing appears tighter, possibly reflecting improved precision in advance tax and TDS computations.
Overall Tax Composition
| Category | FY 2024–25 (₹ crore) | FY 2025–26 (₹ crore) | Growth (%) |
| Corporate Tax (CT) | 4,91,798 | 5,01,918 | 2.06% |
| Personal/Non-Corporate Tax | 5,93,698 | 6,55,964 | 10.49% |
| Securities Transaction Tax | 30,630 | 30,878 | — |
| Other Taxes | 2,152 | 294 | — |
| Net Direct Tax Collections | 11,18,278 | 11,89,054 | 6.33% |
Moderate Growth, Shifting Structure
While total gross direct tax collections rose 2.36% to ₹13.92 lakh crore, the sharper rise in personal income tax underscores the growing weight of individual taxpayers in India’s tax base.
The government’s refund data indicates that corporate settlements remain substantial, but the buoyancy of personal income tax continues to be the key driver of overall revenue growth this fiscal.
