Net Direct Tax mop-up rises 16% in FY24

India’s direct tax collection soared 16 per cent to touch Rs. 4.75 trillion this financial year, showing continuity in revenue growth despite external headwinds.

The collection has gathered pace over past months, with net direct tax collection, net of refunds, growing 15.87 per cent to Rs. 4.75 trillion by July 9, higher than the net collections for the corresponding period of last year,” finance ministry said while releasing the provisional figures.

It said that the numbers so far “continue to register steady growth.” On a gross basis, collection from direct taxes, which includes income and corporation taxes, grew 14.65 per cent to Rs. 5.17 trillion.

“The provisional figure is 26.05 per cent of the total Budget Estimates of direct taxes for the current financial year 2024, ” the ministry said. The central government expects to collect Rs. 18.2 trillion this financial year, which is 10.5 per cent more than what was collected in FY23, as per revised estimates.