Daijiworld Media Network - New Delhi

New Delhi, Jan 12: The Centre’s net direct tax collections reached Rs 18.37 lac crore between April 1 and January 11 in the current financial year 2025–26, marking an increase of 8.82 per cent compared to the same period last year, according to figures released by the Income Tax Department on Monday.

Corporate taxes continued to be a key driver of growth, with net corporate tax collections standing at Rs 8.63 lac crore, up 12.41 per cent year-on-year. In contrast, net non-corporate tax collections — comprising personal income tax and securities transaction tax — rose more modestly to Rs 9.29 lac crore, reflecting a 6.39 per cent increase over the corresponding period of the previous fiscal.

Officials attributed the relatively slower growth in non-corporate taxes to the tax relief measures announced in the Union Budget 2025–26. Under the revised tax structure, individuals earning up to Rs 12 lac annually are exempt from income tax, while salaried taxpayers benefit from an effective exemption up to Rs 12.75 lac due to the standard deduction of Rs 75,000.

The revised regime was designed to ease the tax burden on the middle class, increase disposable income, and encourage higher consumption, savings, and investment to support overall economic growth.

In addition, several Tax Deducted at Source (TDS) thresholds were raised, including the limit on interest income for senior citizens, which was increased from Rs 50,000 to Rs 1 lac, and the annual TDS threshold on rent, which was raised from Rs 2.40 lac to Rs 6 lac.

The data also showed that tax refunds issued during the period amounted to Rs 3.11 lac crore, a decline of 16.91 per cent compared to Rs 3.75 lac crore refunded during the same period in the previous financial year.

Gross direct tax collections so far in FY 2025–26 stand at Rs 21.49 lac crore, representing a 4.14 per cent increase over the corresponding period last year.