India has witnessed a 7% increase in direct tax collection, surpassing Rs 12.9 trillion in the ongoing 2025–26 fiscal year, as per the latest data from the Income Tax Department released on November 11, 2025. These figures represent tax collections up to November 10, 2025.
The net direct tax collection has reached over Rs 12.92 trillion, up from Rs 12.07 trillion in the corresponding period of the previous year. Direct taxes comprise payments made directly to the government, including income tax, property tax, and taxes on individual assets.
Moreover, gross tax collection, the total amount before refunds, has also seen a slight increase of 2.15%, totaling Rs 15.35 trillion in comparison to Rs 15.02 trillion in the previous year.
In contrast, while tax collection has risen, refunds have significantly decreased. The government has refunded Rs 2.42 trillion to taxpayers so far, marking a 17.72% decline from the Rs 2.94 trillion refunded in the previous year. This decline in refunds may indicate fewer refund claims or the exclusion of some cash-paying taxpayers from the system. There are also speculations that the government might be handling refunds more cautiously this year.
The data reveals a positive trend in personal income tax, particularly from non-corporate taxpayers, despite the reduction in tax rates last year. This suggests stronger earnings among employees and small business proprietors.
Furthermore, the Securities Transaction Tax (STT), levied on share market transactions, has remained relatively stable compared to the previous year, standing at Rs 35,682 crore versus Rs 35,923 crore. This stability in STT implies that the stock market has largely maintained a steady trajectory, although the current surge in IPO activities could potentially drive up numbers in the coming months.