Direct tax collection for FY2025 fiscal hits target with 17% growth
India's provisional net direct tax collections for 2024-25 reached Rs 11,82,875 crore, marking a 17% growth over the previous year, and achieving 100.78% of the budget target.
- Apr 25, 2025,
- Updated Apr 25, 2025 9:37 PM IST
India's direct tax collections for the fiscal year 2024-25 have met and exceeded their targets, according to the Finance Ministry's latest reports. The provisional net direct tax collections reached Rs 11,82,875 crore, representing a 17% increase over the previous fiscal year. The tax buoyancy factor, an indicator of the growth rate of direct taxes relative to GDP growth, stood at 1.57, up from 1.54 in the 2023-24 fiscal year. Officials noted that these figures are provisional, with final reconciliations and adjustments yet to be completed, but the current performance is promising for the country's fiscal health.
The provisional tax collections have hit 100.78% of the target set in the July budget, which was Rs 22.07 lakh crore, and 99.51% of the revised estimate presented in February, targeting Rs 22.37 lakh crore. This achievement comes alongside a significant increase in tax refunds issued, which reached Rs 4,76,743 crore, marking an increase of 26.04% compared to Rs 3,78,255 crore during 2023-24. This indicates a robust tax administration and efficient processing of refunds, providing liquidity back to taxpayers.
Total Gross Collection rose by 15.59% year-on-year, while Net Direct Tax Collection increased by 13.57%, despite a substantial 26.04% rise in refunds. Securities Transaction Tax (STT) saw a sharp jump of 55.91%, indicating higher trading activity in the financial markets. Non-Corporate Tax outpaced Corporate Tax growth, rising 17.58%, which may reflect stronger personal and business income during the year. In contrast, collections under Other Taxes declined by 17.25%, pulling down that segment’s overall contribution.
Direct Tax Collections (₹ in crore)
| Category | FY 2023-24 (Provisional) | FY 2024-25 (Provisional) | % Growth |
|---|---|---|---|
| Corporate Tax (CT) | 11,31,958 | 12,72,516 | 12.42% |
| Non-Corporate Tax (NCT) | 11,68,204 | 13,73,797 | 17.58% |
| Securities Transaction Tax | 34,192 | 53,296 | 55.91% |
| Other Taxes | 4,068 | 3,366 | -17.25% |
| Gross Collection | 23,38,421 | 27,02,974 | 15.59% |
| Category | FY 2023-24 | FY 2024-25 | % Growth |
|---|---|---|---|
| Refunds | 3,78,255 | 4,76,743 | 26.04% |
| Category | FY 2023-24 | FY 2024-25 | % Growth |
|---|---|---|---|
| Net Collection | 19,60,166 | 22,26,231 | 13.57% |
In the corporate tax sector, the gross collection figures rose to Rs 12,72,516 crore, reflecting a growth of 12.41% over the prior year. Meanwhile, net corporate tax collections were reported at Rs 9,86,719 crore, growing by 8.30% from the previous fiscal period. These figures underscore the resilience of corporate entities in India and their contribution to the fiscal framework, despite economic challenges. Non-corporate tax collections also performed well, contributing significantly to the overall tax revenue increase.
In terms of non-corporate taxes, the net provisional collection for the fiscal year 2024-25 amounted to Rs 11,82,875 crore, showing a 17% increase from the previous year. The tax buoyancy ratio, measuring the relationship between direct taxes and GDP growth, was recorded at 1.57 for the fiscal year 2024-25, up from 1.54 in the corresponding period of 2023-24.
India's direct tax collections for the fiscal year 2024-25 have met and exceeded their targets, according to the Finance Ministry's latest reports. The provisional net direct tax collections reached Rs 11,82,875 crore, representing a 17% increase over the previous fiscal year. The tax buoyancy factor, an indicator of the growth rate of direct taxes relative to GDP growth, stood at 1.57, up from 1.54 in the 2023-24 fiscal year. Officials noted that these figures are provisional, with final reconciliations and adjustments yet to be completed, but the current performance is promising for the country's fiscal health.
The provisional tax collections have hit 100.78% of the target set in the July budget, which was Rs 22.07 lakh crore, and 99.51% of the revised estimate presented in February, targeting Rs 22.37 lakh crore. This achievement comes alongside a significant increase in tax refunds issued, which reached Rs 4,76,743 crore, marking an increase of 26.04% compared to Rs 3,78,255 crore during 2023-24. This indicates a robust tax administration and efficient processing of refunds, providing liquidity back to taxpayers.
Total Gross Collection rose by 15.59% year-on-year, while Net Direct Tax Collection increased by 13.57%, despite a substantial 26.04% rise in refunds. Securities Transaction Tax (STT) saw a sharp jump of 55.91%, indicating higher trading activity in the financial markets. Non-Corporate Tax outpaced Corporate Tax growth, rising 17.58%, which may reflect stronger personal and business income during the year. In contrast, collections under Other Taxes declined by 17.25%, pulling down that segment’s overall contribution.
Direct Tax Collections (₹ in crore)
| Category | FY 2023-24 (Provisional) | FY 2024-25 (Provisional) | % Growth |
|---|---|---|---|
| Corporate Tax (CT) | 11,31,958 | 12,72,516 | 12.42% |
| Non-Corporate Tax (NCT) | 11,68,204 | 13,73,797 | 17.58% |
| Securities Transaction Tax | 34,192 | 53,296 | 55.91% |
| Other Taxes | 4,068 | 3,366 | -17.25% |
| Gross Collection | 23,38,421 | 27,02,974 | 15.59% |
| Category | FY 2023-24 | FY 2024-25 | % Growth |
|---|---|---|---|
| Refunds | 3,78,255 | 4,76,743 | 26.04% |
| Category | FY 2023-24 | FY 2024-25 | % Growth |
|---|---|---|---|
| Net Collection | 19,60,166 | 22,26,231 | 13.57% |
In the corporate tax sector, the gross collection figures rose to Rs 12,72,516 crore, reflecting a growth of 12.41% over the prior year. Meanwhile, net corporate tax collections were reported at Rs 9,86,719 crore, growing by 8.30% from the previous fiscal period. These figures underscore the resilience of corporate entities in India and their contribution to the fiscal framework, despite economic challenges. Non-corporate tax collections also performed well, contributing significantly to the overall tax revenue increase.
In terms of non-corporate taxes, the net provisional collection for the fiscal year 2024-25 amounted to Rs 11,82,875 crore, showing a 17% increase from the previous year. The tax buoyancy ratio, measuring the relationship between direct taxes and GDP growth, was recorded at 1.57 for the fiscal year 2024-25, up from 1.54 in the corresponding period of 2023-24.