According to preliminary data published by the Central Board of Direct Taxes (CBDT), net receipts from direct tax increased by 16.4% year-on-year, reaching 6.51 trillion rupees as of July 13. This growth was driven by a steady increase in corporate tax receipts and a sharp rise in securities transaction tax collections.
Total direct tax receipts grew by 16.11%, amounting to 7.74 trillion rupees, while tax refunds increased by 14.57% to 1.22 trillion rupees for the reporting period.
Net receipts from corporate tax for the current fiscal year rose by 22%, reaching 2.40 trillion rupees. Net receipts from non-corporate taxes—which include taxes paid by individuals, HUFs, Firms, Associations of Persons (AoPs), Bodies of Individuals (BoIs), local authorities, and artificial legal persons—increased by 11.66% to 3.85 trillion rupees.
Collections from Securities Transaction Tax (STT) jumped by 47.85% to 26,429 crore rupees, reflecting an increase in trading volume in the stock market. STT is levied on the purchase and sale of registered securities based on the total transaction value.
For the fiscal year 27, the government has planned to collect direct taxes amounting to 26.97 trillion rupees, compared to 23.40 trillion rupees collected in the previous fiscal year. Experts noted that these receipts indicate a healthy start to the financial year, with corporate taxes acting as the main driver of growth.
Kitesh Sahu, Partner at Price Waterhouse & Co LLP, stated that corporate tax receipts remain an important source of stability. He noted that net receipts from corporate tax grew by 22.01%, and gross receipts from corporate tax by 15.60%, indicating sustainable corporate profitability and stable tax compliance. Sahu added that net receipts from corporate tax already account for about 19.5% of budget estimates, and net receipts from non-corporate taxes account for 27.6%, suggesting a strong position for direct tax mobilization this year.
Rohington Sidhwa, Partner at Deloitte India, suggested that the 16.4% growth in net receipts was primarily driven by corporate tax revenues. In his view, this may indicate that corporate earnings have not been affected by the war or slowdown, and profits remain largely protected. He also noted that the sharp rise in STT collections was likely supported by higher trading volumes amid stock market volatility.
Jayesh Sanghvi from EY India believes that the healthy growth in net direct tax receipts at 16.4% reflects the combined impact of sustained economic expansion, ongoing formalization of business and income, improved tax compliance, and increasing use of technology in tax administration. He emphasized that a notable feature of the current trend is the stronger growth in corporate tax receipts compared to personal income tax, and the sharp increase in STT collections signals the continued depth of the capital market and investor participation despite geopolitical risks affecting global portfolios.
According to government data, GST collection increased by 13.9 percent, reaching approximately 1.95 trillion rupees in June.
The total revenue from domestic operations showed a growth of 6.5 percent, amounting to about 1.35 trillion rupees. Meanwhile, import revenues grew significantly—by 34.6 percent, reaching 60,038 crore rupees.
In June, the total amount of refunds increased by 29.1 percent, totaling 32,436 crore rupees. After accounting for these refunds, the net collection reached a growth of 11.2 percent, exceeding 1.62 trillion rupees.
