Government treasury is being filled by income tax collection!
In the current financial year, the government's treasury is being continuously filled through tax collection and in this, non-corporate tax collection has been more than corporate tax which the tax department collects from taxpayers. In the financial year 2024-26, till march 16, direct tax collection has been Rs 21.26 lakh crore with a jump of 13.13 percent.
According to the data released regarding direct tax collection, the increase in advance tax is credited in the jump in direct tax collection. During the current year, the government has raised Rs 10.44 lakh crore with a growth of 14.62 percent from four installments of advance tax, while in the last financial year this figure was Rs 9.11 lakh crore. The last installment of advance tax payment for the current financial year was on march 15, 2025. Advance tax collection under the corporate tax category has grown by 12.54 per cent to Rs 7.57 lakh crore, while advance tax collection in the non-corporate category has grown by 20.47 per cent to Rs 2.87 lakh crore.
As per Section 208 of the Income Tax Act, any person whose estimated tax liability is likely to exceed Rs 10,000 (after considering tax deduction and collection at source - TDS and TCS) is required to pay advance tax for that year and this includes salaried taxpayers as well. Advance tax is paid in four installments - by june 15, september 15, december 15 and march 15 during the financial year.
According to the tax collection data released by the CBDT, non-corporate tax collection, which mainly includes income tax, has grown by 17 per cent year-on-year to about Rs 11.01 lakh crore. Whereas between april 1, 2024 and march 16, 2025, corporate tax collection has been Rs 9.69 lakh crore with only 7 percent growth.
Despite the huge fall in the stock market, the security transaction tax collection levied on the sale and purchase of shares has been Rs 53,095 crore with a jump of about 56 percent, whereas in the same period last financial year, a collection of Rs 34131 crore was seen. During this period, refunds of more than Rs 4.60 lakh crore were issued, whereas in the same period a year ago, refunds of Rs 3.47 lakh crore were issued. In the revised estimates for the financial year 2024-25, the government has estimated the income tax collection to be Rs 12.57 lakh crore, which is more than the budget estimate of Rs 11.87 lakh crore.
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