Direct tax collections grew 13.57% in FY25, netting over ₹22.26 lakh crore

Direct tax collections for 2024-25 surged by 13.57%, with the net collection for the financial year rising to ₹22,26,231 crore, up from ₹19,60,166 crore in FY24, according to provisional data released by the Principal Chief Controller of Accounts, Central Board of Direct Taxes (CBDT).

The growth was led by Non-Corporate Tax (NCT) collections, which include taxes paid by individuals, HUFs, firms, and others. NCT grew by 17%, reaching ₹11,82,875 crore, up from ₹10,10,948 crore in FY24. Corporate Tax (CT) collections also saw a healthy growth of 8.30%, rising to ₹9,86,719 crore in FY25, compared to ₹9,11,055 crore in FY24.

Refunds issued during 2024-25 witnessed a sharp increase of 26.04%, totalling ₹4,76,743 crore, compared to ₹3,78,255 crore in the previous fiscal year. The rise in refund outgo reflects the CBDT's continued emphasis on faster processing of returns and timely disbursal of refunds to taxpayers. Notably, the growth in refunds was observed across both corporate and non-corporate segments, with Corporate Tax refunds amounting to ₹2,85,796 crore and Non-Corporate Tax refunds standing at ₹1,90,922 crore, up from ₹2,20,903 crore and ₹1,57,256 crore, respectively, in FY24. This proactive refund processing contributes to improved taxpayer confidence and liquidity in the economy.

Gross direct tax collections for FY 2024-25 stood at ₹27,02,974 crore, marking a strong growth of 15.59% over the previous year’s ₹23,38,421 crore. The increase reflects robust performance across key tax categories, with CT collections rising to ₹12,72,516 crore and NCT collections climbing to ₹13,73,797 crore. This broad-based growth in gross collections underscores the resilience of the Indian economy and the effectiveness of tax administration measures implemented by the CBDT.

Other net collection components

Securities Transaction Tax (STT) collections jumped 55.84%, from ₹34,192 crore to ₹53,296 crore. Other taxes (OT), however, recorded a 15.87% decline, slipping to ₹3,341 crore from ₹3,972 crore.

The data underscores sustained buoyancy in the country’s direct tax revenues, particularly from individual taxpayers and capital market transactions.